The U.S. Dollar rose against major currencies after the ADP employment report showed that U.S. private employers added 187,000 jobs in January, while Germany announced its against expanding the European rescue package amid the uncertainty surrounding a number of debt ridden countries.
Meanwhile, the British Pound rose against the Dollar after data showed rising construction activities in the U.K., where this provided investors with hope over the outlook of the U.K. economy.
The U.S. Dollar index, which measures the performance of the U.S. dollar against a basket of currencies including the Euro, the Pound, and the Yen, rose on daily basis to trade at 77.23, compared with the opening level at 76.92, while recording a high of 77.27 and a low of 76.89.
The Euro declined against the Dollar, where the EUR-USD pair is trading at $1.3775, compared with the opening level at $1.3820, while recording a high of $1.3861 and a low of $1.3769. The pair is now trading below the $1.3820 level, and so long it remains below this level, we should expect more downside movement and the target then will be the $1.3760 support level, however, if the pair rise above $1.3820, the next target will be the $1.3850 resistance level.
The British Pound rose today against the U.S. Dollar, where the GBP-USD pair is now trading at $1.6160, compared with the opening level at $1.6135, while the pair recorded a high of $1.6230 and a low of $1.6128. The pair is now trading above the important level at $1.6120 and so long it continues to trade above this level, the next target is set at $1.6300, however breaching the $1.6120 level to the downside would send the pair to the $1.5990 support level.
The U.S. Dollar rose against the Japanese Yen, where the USD-JPY pair is now trading at ¥81.76, compared with the opening level at ¥81.40, while recording a high of ¥81.86 and a low of ¥81.33. The pair is now trading below the ¥81.85 resistance level, which suggests that the way is open to reach the ¥80.35, but the pair must remain below ¥81.85 in order for this bearish scenario to continue, however, breaching the ¥81.85 to the upside would send the pair to the resistance level at ¥82.55.