The U.S. dollar rebounded against majors today, after announcements by the chairman of the Federal Reserve, Ben Bernanke yesterday, that the FED will use contraction monetary policy once the economy shows progress. The announcement boosted demand on the dollar, causing it rebound from 14 month low against a basket of major currencies, as indicated by the dollar index which is currently at 76.30 compared with yesterday's closing at 75.89.

The euro-dollar pair declined on the daily charts, while it is consolidating on the 4-hour and 1-hour charts. The euro touched it highest in two weeks versus the dollar yesterday; however, today the dollar pared some of its losses. The ECB left the benchmark interest rate unchanged and announced that a strong dollar is better for the U.S. and the euro zone. The Stochastic Oscillator is showing a bearish sign, which indicates that the euro may drop further against the dollar. The European Single Currency is currently traded at 1.4727 recording a high of 1.4795 and low of 1.4702, where the pair is supported by 1.4715 and faces the coming resistance of 1.4735.

The pound-dollar pair showed a decline on the daily and 4-charts. Yesterday, the BoE held the interest rate at 0.5%. Today, the U.K. released PPI for September showing improvement, while trade balance showed a narrowed deficit. However, the pound was not impacted by the news, due to the strong correctional movements by the dollar. So far, the pound is traded at 1.5946 setting a high of 1.6077 and a low of 1.5931; while the coming support for the pair is seen at 1.5925 and the resistance is spotted at 1.5960.

The dollar-yen pair is still inclining on the daily charts, but on the 4-hour and 1-hour charts, while the pair is showing a decline. The yen dropped today to the lowest level in 2 weeks against the dollar, as Japan's machinery orders surged less than forecasts. Now, the pair is trading around 89.05, after hitting a high of 89.42 and a low of 88.34; while the pair is currently facing the coming support level at 88.90, while the resistance is spotted at 89.30.