The U.S. dollar rebounded against a basket of major currencies as seen by the dollar index on the daily charts after founding support at 82.20 levels which lifted the six-currency gauge to 82.76 while it opened the day at 82.58.
However, the green currency remains under downside pressure ahead of the release of U.S. housing starts and building permits which are expected to decline in June.
Regarding the euro-dollar pair, it is showing slight decline on the daily charts, doing a downside correction from an overbought area as seen by the Stochastic Oscillator momentum indicator on the daily charts.
The euro fell from two-month high as it approached resistance at 1.3045 which pushed the pair down to 1.2904, where it is currently trading. Today, Greece sold 13-week Treasure bills worth 1.95 billion euros with demand higher than the prior auction, while Spain sold 6 billion euros Treasury bills. However, this news failed to give support to the euro. The euro-dollar pair recorded a high of 1.3027 and a low of 1.2887, while it is predicted to move between support and resistance at 1.2860 and 1.2985 respectively.
As for the sterling-dollar pair, it reversed its earlier gains today to continue falling for the third day after a report released today showing that U.K.'s budget deficit widened in June above forecasts which sparked concerns the huge sovereign debt would shave growth. The pair fell as it neared resistance at 1.5312. Meanwhile, the pair is trading at 1.5184 after recording a high of 1.5308 and a low of 1.5163, whereas it is expected to move between support at 1.5125 and resistance at 1.5215.
Concerning the dollar-yen pair, it is showing slight rise on the daily charts as the yen weakened on speculations the bank of Japan will ease monetary policy. For now, the pair is trading at 86.82, recording a high of 87.18 and a low of 86.62, whereas support is seen at 85.95 while resistance is at 87.20.