The U.S. dollar gained huge momentum against major currencies throughout today's session amid the pessimism that dominated global markets which led U.S. equity indexes to drop more than 2 percent, where fears over the outlook for China's growth and Confidence data from the United States weighed down heavily on investors' confidence and forced them to target safe assets.
The U.S. Conference Board announced today that consumer confidence dropped in June to 52.9 from the prior revised estimate of 62.7 back in May, while median estimates were set for a slight decline to 62.5. Moreover, data from Japan today signaled that the recovery process might stall, as the economy seems to be slowing down.
The U.S. dollar index, which is measure for the dollar's performance against a basket of currencies, inclined to trade at 86.02, compared with the opening levels at 85.70, after recording a high of 86.30 and a low of 85.63.
The Euro-Dollar pair declined in today's trading session as shown on the daily charts, where the pair continues to trade near its lowest levels in almost a year, the pair is now trading at $1.2202 between the support level at $1.2170 and the resistance at $1.2210, noting that the pair is trading near the resistance level now and if this level is breached, the pair will continue to rise on intraday basis. The pair recorded the highest today at $1.2290 and the lowest level at $1.2149, and the pair is pointing to an upside correctional wave as shown on the four hours and one hour charts.
The British Pound-Dollar pair declined slightly as well on the daily charts to trade at $1.5079 between the support level at $1.5025 and the resistance at $1.5130, while the pair recorded the highest level today at $1.5118 and the lowest at $1.5010, noting that the pair is showing an upside direction as indicated by the Stochastic Oscillator on the four hour chars, after the pair was able to rise above the $1.5020 level
Finally, the Dollar-Yen pair declined on the daily charts, where the pair is trading at 88.47, between the support level at 88.00 and the resistance at 89.25, noting that the pair managed to set the highest level today at 89.41 and the lowest at 88.27.