Traders grew risk-luscious on Monday due to the strong vibes that were quite spread in financial markets where we saw investors shunning less-riskier assets to head towards high-yielding assets and currencies topped with the Euro sending the U.S dollar down before major currencies due to growing optimism over Europe which actually fueled investors' appetite for risk.
Financial Markets were filled with positive sentiments despite the U.S economy held no fundamental releases on Monday, as traders grew more optimistic EU leaders are will announce a new plan to recapitalize European banks and revitalize the EU rescue fund and accordingly tame the debt crisis.
Meanwhile, the Dollar index which measures the performance of the U.S. dollar against a basket of currencies including the Euro, the Pound, and the Yen, fell from today's opening level of 76.23 to currently trade at 76.09 recording its highest level at 76.55 and its lowest at 76.03.
Gold prices surged at today's trading to reach $1649.32 per ounce from the opening price of $1642.65 per ounce. Oil gained as well to reach $90.36 after opening at $87.25 per barrel.
The Euro rose against the US dollar today, as the EURO/USD rose to $1.3920 since the opening level of $1.3850, while recording a high of $1.3954 and a low of $1.3821. Accordingly, the pair will be targeting the next resistance point at $1.3970 following the breach of key resistance at $1.3910, yet the support level remains at $1.3780.
The British Pound rose against the dollar as well, where the pair is now trading at $1.5986 after opening at $1.5941 levels, while recording a high of $1.6000 and a low of $1.5900. The GBP/USD is targeting the next resistance level at $1.6000, after the pair managed to breach the key resistance at $1.5980, however, the $1.5980 remains as the support level.
On the other hand, the Japanese Yen fell against the US dollar at today's trading, as the JPY/USD pair started trading at ¥76.41 this morning, while recording the high of ¥76.44 and a low of ¥75.99 and currently trading at ¥76.08. The JPY/USD pair will be targeting the next ¥75.80 support level after breaching the key support at ¥76.10, however, the resistance level remains at ¥76.60.