Currency Pair Overview Majors Decline On Light Volume

on April 24 2009 10:28 AM

Overall, the market moved again on light momentum in the Asian session. Things are expected to pick up as the market is heading towards the London open, following the template set over the last period of trading. So far, it seems that the direction of trading was dollar long, but this could change very easily as the market is struggling to pick up momentum. The Euro (Eur/Usd) was able to move decisively higher for the first time in the last period. The pair rose 130 pips on Thursday, helped by positive U.S. futures during the European and the U.S. sessions. However, the euro ran into the 1.3150 resistance area in the Asian session, an area that might need stronger volume to be break. The Pound (Gbp/Usd) saw strong momentum on Thursday, which helped the pair break above the 20 and the 100-day moving averages. However, the pound declined 60 pips in the Asian session, breaking again below the 20-day moving average.The Aussie (Aud/Usd) rose 80-pips on Thursday, helped by the gains seen during the European session. However, the aussie saw some downside action in the late U.S. and in the Asian sessions, as the pair failed two tests at the 0.7150 resistance area, forming a double-top pattern. The Cad (Usd/Cad) declined 140 pips, after the pair broke under the 1.2325 support area helped by better than expected retail sales. Additionally, the cad might have received an additional boost from the crude’s market, as oil broke above the $49 resistance area. In the Asian session, the cad rose 30 pips.The Swissy (Usd/Chf) moved strongly on Thursday, as the forthcoming SNB Chairman was speaking about the latest developments in the Swiss economy. Helped by the declines seen in the past days, the swissy broke under the 50-day moving average. The Yen (Usd/Yen) continues to hold above the 97.75 area, which acted as a support over the last four days of trading. Additionally, the 50-day moving average can be found around the same area, providing additional weight to the support line. On Thursday, the yen formed a doji-star, while it declined 30 pips tonight, in the Asian session. 

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