The U.S. dollar rose back overall against major currencies according to the U.S. dollar index on daily basis, where despite better than expected news from the United States, yet investors were somewhat worried after stock markets erased earlier gains and dropped lower.
Meanwhile, the FOMC minutes which is due to be released around 14:00 New York time is not expected to bring anything new to the markets, accordingly, we don't expect markets to move drastically after the release.
The U.S. dollar index, which measures the performance of the dollar against a basket of currencies, including the Euro, the Pound, and the Yen, rose on daily scale to trade at $79.45, compared with the opening level at 79.25, while recording a high of 79.51 and a low of 78.89. Gold prices tumbled amid the dollar's strength below $1400 an ounce, where gold is trading at $1377.74, compared with the opening level at $1414.54an ounce, and oil prices also dropped to trade at $88.50, compared with the opening level at $91.60 a barrel.
The Euro-Dollar pair dropped on daily basis to trade at $1.3317, compared with the opening level at $1.3356, while recording a high of $1.3434 and a low of $1.3291. The pair dropped below the $1.3365 level which represents a resistance now, while support levels can be seen at $1.3245, and so long as trading remains above those levels, the direction on intraday basis will remain to the upside.
The Pound-Dollar pair on the other hand rose today, after the U.K. released strong manufacturing and mortgage approval data, which provided the pound with strong momentum to rise, the pair is now trading at 1.5596, compared with the opening level at $1.5487, while recording a high of $1.5645 and a low of $1.5454. The pair is now targeting the resistance level at $1.5690, while the support at $1.5510 is important to maintain the bullish direction on intraday basis.
Finally, the U.S. dollar rose against the Japanese Yen, where the USD-JPY pair is trading at ¥81.86, compared with the opening level at ¥81.67, while the pair recorded a high of ¥82.28 and a low of ¥81.61. The pair retested the resistance level at ¥82.30 and dropped from that level, accordingly, we should expect the pair to continue its downside direction to target the support level at ¥80.35.