Investors' concerns continue to suppress the European common currency, where the recent news that one of Spain's banks went bankrupt, ignited fears among investors about the outlook of the financial sector in the country, noting that Spain carries a huge burden of debt and unemployment of 20.0 percent. The Euro extended its decline against the Dollar in the first trading day of this week, where the Dollar was backed by the housing data that was released today from the National Association of Realtors, where it showed that purchases of previously owned homes rose during April by 7.6 percent.
The U.S. dollar index, which tracks the performance of the dollar against a basket of currencies, traded at 86.199, compared with the opening levels of 85.740 where the index reached the highest today at 86.493 and the lowest at 85.619. Meanwhile Gold rose as investors sought safe investments, to trade at $1194.83 an ounce, compared with the opening levels of $1177.55 an ounce, while oil was unchanged at $70.60 a barrel.
As for trading, the euro-dollar pair weakened and dropped to trade at $1.2405, compared with the opening levels for today that were set at $1.2536, while it managed to reach the highest levels today at $1.2563 and the lowest at $1.2342. Expectations show that the pair will rise in the upcoming trading sessions if the $1.2345 level remains intact, with targets at $1.2910.
Moving to the Royal currency, the GBP/USD pair descended to trade at $1.4449, compared with the opening levels of $1.4461, where it managed to reach the highest levels today at $1.4527 and the lowest at $1.4350, meanwhile, Expectations show that the pair will descend further to target the $1.4345 level supported by the negative signs on the Stochastic Oscillator, meanwhile intraday expectations shows that the pair will rise in a correctional move to target $1.4530 before reversing its direction and descend.
Finally talking about the dollar's performance against the Yen, the USD/JPY pair rose in today's trading, where the pair opened its trading at 90.29 while it managed to reach the highest levels today at 90.61 and the lowest at 89.73, meanwhile; the pair is trading at 90.42. abullish correction is expected followed by a continuation to the bearish wave that is targeting initially the 89.00 level. It is vital that the daily closing is below 91.00 to maintain those expectations.