The dollar is surging in markets as investors are avoiding higher yielding assets on renewed worries in markets that Greece will not be able to tame the deficit which is projected to be revised upwards to 13.6%, as announced by the EU today.The Dollar Index, which measures strength of the dollar versus six major currencies, is currentlyshowing incline,trading at 81.51 while recording a high of 81.56 and a low of 81.03.
Based on the Greek worries especially after the EU estimates, we see the euro tumble as yield on bonds rally therefore reducing the appeal of the euro versus the dollar, while the momentum indicators are showing us on the one-hour charts, that the pair is being traded in an oversold area. The EUR/USD is currently traded at 1.3323 between the support of 1.3240 and the resistance of 1.3380 while recording a high of 1.3420 and a low of 1.3310.
From the United Kingdom, we see that their deficit resumed to widen as there are already political issues that is pressuring on the pound from rising, especially ahead of the May 6 elections, since there are worries that the new government might not be able to tackle the deficit properly, therefore hurting the outlook of the nation. As a result of the concerns about the outlook of the UK, we see the pound continues to depreciate against the dollar, the GBP/USD pair is currently trading at 1.5359 above the support of 1.5280 and below the resistance of 1.5430 while recording a high of 1.5472 and a low of 1.5352.
The dollar yen pair is volatile, while investors are seeking a safe-refuge currency like the yen, which is supporting it to rise in markets. The USD/JPY is traded at 93.01 between the support of 92.25 and the resistance of 93.70 while recording a high of 93.33 and a low of 92.73.