The dollar started this week declining against the euro and the pound, despite the FOMC raised its estimates for the U.S economy last week that was supposed to support the green currency. The USDIX declined to 97.15 today which is the lowest level since December 2008.
The euro gained against the dollar today as the pair recorded a high of 1.4180 and a low of 1.4106. Last week the pair had a strong resistance at the 1.4100 level, but it managed to break it despite the pessimistic fundamentals last week about trade balance in the Euro Zone. Today the euro is trading around $1.4155 and the pair is having a resistance at 1.4175 along with a support at 1.4135. If the pair moved further than the resistance the next target will be 1.4200. However, momentums are indicating that the pair is trading in an overbought area.
As for the pound dollar pair, it breached the 1.6400 level on Friday and today it recorded a high of 1.6413 and a low of 1.6322. The pound gained against the dollar supported by the recovering house prices as today fundamentals indicated that house prices inclined on the monthly record to reach 0.6% from a prior -0.4. Today the pair is having a resistance at 1.6420 and a support at 1.6365. It is expected that the pair will be able to break the resistance to have a next resistance at 1.6490. Momentum indicators on the four hours scale are supporting the uptrend.
Finally, the dollar yen pair inclined reaching a high of 94.65 and a low of 94.15. The pair is facing a resistance at 94.80 and a support at 94.35. In case the pair broke the support it will target the 93.90 level, while incase the resistance didn't stop the pair the next target will be 95.10. However, the pair is trading in an overbought area according to the momentum indicators.