Reports from China is playing major role in currency market as investors focuses on China's Central Bank as news emerged that China might enforce new regulation to cool its economy, which discouraged the demand on high yielding assets therefore the Dollar and the Yen gained against major currencies in trading.
The U.S Dollar Index; which measures the performance of the Green Benjamin against a six major currencies including the Euro, Pound and Yen little changed but to the upside whereas the index opened at 78.380 to trade at 78.418 after reaching the highest levels for today at 78.636 and the lowest at 78.331.
The euro-dollar pair is declining on the daily scale in attempt to reach the support levels at $1.4067, the pair is still trading among yesterday's resistance levels of $1.4288 and the support levels of $1.4066 whereas the pair holds strong tendency to incline on the daily chart and the four hour chart as its trading in an oversold area. The pair's upcoming support and resistance levels are set at $1.4050 and $1.4140 respectively, meanwhile the pair managed to reach the highest point at $1.4179 and the lowest at $1.4040 while trading at $1.4094.
As for the sterling-dollar pair it slashed most of the gains acquired yesterday as UK's GDP came out lower than market expectations indicating that the recovery in the royal country might stall, therefore the pair breached the support levels at $1.6208 and $1.6157 where it continued to decline reaching a low of $1.6089. The pair is currently trading at $1.6143 with a tendency to continue with its descending pattern reaching the support levels of $1.6071 before ascending as a correctional move to test the previously mentioned support levels that converted into resistance at $1.6157. The upcoming support and resistance levels for the pair can be witnessed at $1.6100 and 1.6205 respectively.
Finally talking about the USDJPY pair, the pair decline on intraday basis and attempting to breach the support levels at $89.27 which is considered the support levels for the ascending channel, meanwhile the pair is expected to incline slightly as a correctional move, meanwhile the pair is trading at $89.66 where the intraday projections indicate a persistence downside trend reaching its targets at $88.25 as far as $90.60 remains intact. The pair managed to reach the highest levels for today at $90.55 and the lowest at $89.31 while the upcoming support and resistance levels for the pair can be witnessed at $89.00 and 90.10 respectively.