The U.S. economy released its job report which showed that there is still weakness in the job sector as the economy continues to shed employees despite unemployment rate slipping. Anticipations are roaming around if the U.S. recovery was going to rebound or is the pace of improvement easing. Currently the Dollar Index, which gauges strength of the dollar against six major currencies, is currently declining trading at 84.27 while recording a high of 84.76 and a low of 84.13.
The euro zone unemployment rate stood unchanged with downwards revision at 10.0% still close to a 12-year high which beat the estimated 10.1% which supported the euro in markets. Also the euro was supported as the European stock markets rebounded, which therefore boosted confidence levels pushing investors towards higher yielding currencies. The euro dollar pair is currently trading 1.2576 between the support of 1.2470 and the resistance of 1.2635 while recording a high of 1.2611 and a low of 1.2480. Over the four-hour basis the technical charts are showing us that the pair is being traded in an overbought area.
Turning to the pound we see that it climbing past the dollar while over the four-hour basis, the technical charts are showing us that the pair is being traded in overbought area. The GBP/USD is currently trading at 1.5184 above the support of 1.5130 and below the resistance of 1.5265 while recording a high of 1.5228 and a low of 1.5148. The UK lacked major economic data to support the pound, yet the increased risk appetite of investors boosted the appeal of the pound.
The yen dollar is on the daily charts are being traded in an oversold area which is causing the pair to rebound after the yen has been rising heavily past the dollar. The pair is currently trading at 87.63 between the support of 86.90 and the resistance of 87.90, with an upcoming target of 88.55 while posting a high of 88.20 and a low of 87.31.