U.S. Dollar Trading (USD) weakened against most pairs with Oil leading the market higher. Weekly Jobless Claims came in at 420k as expected. November New Homes Sales did recover up +5.5% m.m. In US stocks, DJIA +14 points closing at 11573, S&P -2 points closing at 1256 and NASDAQ -5 points closing at 2665. Looking ahead, Stocks closed for Christmas Eve

The Euro (EUR) was under pressure but found some buyers after Moody's put some sovereign CDS up for upgrade. The market is thin and fresh news has the potential for larger than usual moves. EUR/USD traded with a low of 1.3054 and a high of 1.3153 before closing at 1.3120. German Bank Holiday

The Japanese Yen (JPY) broke to the downside falling through support at Y83.50 to Y82.90 on heavy EUR/JPY and GBP/JPY selling. Overall the USDJPY traded with a low of 82.84 and a high of 83.59 before closing the day around 83.10 in the New York session.  

The Sterling (GBP) grinded higher on the day after recent selling was seen as overdone and the market took profit. GBP/JPY recovered from below Y128 but is struggling to maintain strength in recent sessions. Overall the GBP/USD traded with a low of 1.5371 and a high of 1.5449 before closing the day at 1.5420 in the New York session.

The Australian Dollar (AUD) extended gains above parity as the commodity currency does well given Oil's move higher. AUD/NZD reversed from 1.3500 back to 1.3400. Overall the AUD/USD traded with a low of 0.9985 and a high of 1.0068 before closing the US session at 1.0030.

Oil & Gold (XAU) fell back from $1400 but still quiet trade. Overall trading with a low of USD$1372 and high of USD $1389 before ending the New York session at USD$13880 an ounce. Oil continued unabated pushing to $91.50 finding little resistance. WTI Oil Closed +$1.00 at $91.50 a barrel.



TECHNICAL COMMENTARY

Currency

Sup 2

Sup 1

Spot

Res 1

Res 2

EUR/USD

1.3061

1.3074

1.3125

1.3181

1.3202

USD/JPY

82.34

82.84

83.05

83.86

84.12

GBP/USD

1.5297

1.5345

1.5440

1.5494

1.5568

AUD/USD

0.9863

0.9918

1.0025

1.0091

1.0174

XAU/USD

1361.00

1374

1379

1397

1408

OIL/USD

89.00

90.00

91.50

92.50

95.00





Euro - 1.3125

Initial support at 1.3074 (Dec 21 low) followed by 1.3061 (Dec 2 low). Initial resistance is now located at 1.3181 (Dec 22 high) followed by 1.3202 (Dec 21 high)



Yen - 83.05

Initial support is located at 82.84 (Dec 15 high) followed by 82.84 (Dec 14 low). Initial resistance is now at 83.86 (Dec 22 high) followed by 84.12 (Dec 20 high).

Pound - 1.5440

Initial support at 1.5345 (Sep 8 Low) followed by 1.5297 (Sep 7 low). Initial resistance is now at 1.5494 (Dec 22 high) followed by 1.5568 (Dec 21 high).

Australian Dollar - 1.0025

Initial support at 0.9918 (Dec 21 low) followed by the 0.9863 (Dec 20 low). Initial resistance is now at 1.0091 (Nov 11 high) followed by 1.0174 (Nov 9 high).

Gold - 1379

Initial support at 1374 (Dec 20 low) followed by 1361 (Nov 26 low). Initial resistance is now at 1397 (Dec 16 high) followed by 1408 (Dec 14 high).

Oil - 91.50

Initial support at 90.00 (Intraday Support) followed by 89.00 (Intraday Support). Initial resistance is now at 92.50 (Intraday Resistance) followed by 95.00 (Intraday Resistance).





Written by Anthony Darvall