The dollar ahead of the U.S. economy data we see rising, as the economy is scheduled to release pending home sales, in which we see on the year projected to rise, therefore adding to the projections in the market that improvement continues to happen in the housing sector. The Dollar Index, which measures strength of the dollar versus six major currencies, is currently inclining trading at 83.05 while recording a high of 83.06 and a low of 82.28.
Despite Greece receiving aid over the weekend worth 110 billion euros, we still see there are worries in the currencies market, as there are fears that the debt crisis might spread to other European nations. As a result of these worries, weighed heavily on the euro versus dollar pair causing it tumble to the lowest levels for the first time since April 2009. Currently we are seeing the pair trade at 1.3067 between the support of 1.2960 and the resistance of 1.3165 while recording a high of 1.3213 and a low of 1.3059. On the one-hour charts, the momentum indicators are showing us that the pair is being traded in an oversold area.
Although, today we saw the UK release ongoing improvement in the manufacturing sector as it expanded the most in nearly 15 and a half years, yet the pound is resuming its decline against the dollar, as currently it is pressured from the political issues in the nation. There are expectations that these elections will not have a clear winner, which is why investors are worried about the outlook of the nation, causing them to avoid buying the pound. The GBP/USD is currently trading at 1.5142 between the support of 1.5075 and the resistance of 1.5225 while posting a high of 1.5263 and a low of 1.5138. The technical charts are also showing us that the pair is being traded in an oversold area, based on the one-hour charts.
From the pessimism in the markets, we see that investors are avoiding higher yielding assets and turning to lower yielding assets, which is supporting the yen to incline versus the federal currency. Currently the pair is being traded at 94.36 above the support of 94.00 and below the resistance of 95.00 while currently recording a high of 94.97 and a low of 94.35.