The green currency surrendered its previous gains, returning back near its lowest level in 14 months against a basket of major currencies on improved outlook for global economies and as G20 pledged to continue with the stimulus until their economy fully recovers. Finance ministers of the G20 did not discuss the current rate of the dollar or exchange rates which means they are not worried about the dollar's slid.
As regards to the euro-dollar pair, it is showing a sharp incline on the daily and 4-hour charts. The pair is heading to an overbought area as indicated by the Stochastic Oscillator on the daily charts after breaching the strong psychological resistance at 1.5000. The euro is now close to the highest in 14 months versus the dollar on signs of recovery ahead of the release of GDP for the third quarter at the end of the current week, where the euro area is expected to show positive growth figures. The pair is currently traded at 1.5004 recording a high of 1.5020 and a low of 1.4850, while the coming support is at 1.5000 then 1.4985 and resistance at 1.5025.
As for the sterling-dollar pair, it is inclining on the daily charts but facing a downside pressure as it is declining on the 4-hour and 1-hour charts. The pair opened on a huge gap as it closed at 1.6613 on Friday and opened today at 1.6659. Also, it neared the highest level in 3 months at 1.6845. So far, the pound is trading at 1.6779 setting a high of 1.6843 and a low of 1.6616; while the coming support for the pair is seen at 1.6757 and the resistance is spotted at 1.6807.
With regard to the dollar-yen pair, it is showing a downside tendency over daily and 4-hour basis. The pair did an upside correction till 38.2% Fibonacci to the downside trend that started on August 10, but it reversed down again while it is currently declining after retesting the 23.2% Fibonacci level at 90.28. Now, the pair is trading around 89.78 after hitting a high of 90.26 and a low of 89.67; while the pair is currently facing the coming support level at 89.50, while the resistance is spotted at 90.00 then 90.28.