FXstreet.com (Barcelona) - European markets have opened on a sell tone on Monday as investors take profits from last week's rally, which propelled benchmark indexes to year highs. Euro and Pound are hovering at support levels.
Eurostoxx 50 Index is going through a 0.7% decline, while German DAX Index drops 0.8%, and the french CAC Index edges down 0.2%. In the UK , the FTSE Index drops 0.5%.
In absence of macroeconomic indicators, the decline on base metal prices has weighed on mining stocks which have lead losses on Monday, although there have been exceptions such as Antofagasta, which Antofagasta shares 0.9% up and Eurasian Natural Resources adding 1.0, after equity upgrades in both cases.
Euro and Pound, at support levels
EUR/USD remains trading right above 1.4640/50 area (Sept 16 and 18 lows) during early European session, after having declined from 1.4715 Asian session high, extending pullback from 1.4767 high on September 17.
GBP/USD has continued weakening during Asian session, and decline from September 11 high at 1.6740 has extended to test support area at 1.6150/60, where the upward trending support line from Jul 8 low lies.
USD/JPY rebound from 7-month low at 90.15 on Sept 16, has extended above 92.00 during Asian session, and the Dollar has reached levels above 92.00 to trade at a short distance of 92.25 Sept 10 high, which could be attacked any moment.