Major currencies took a strong correctional move in today's Asian session after yesterday's rally that followed the G 20 statement saying that it is important to maintain stimulus plans in markets to guarantee a strong recovery. Currently the dollar is rising from its 15 months low against a basket of currencies and the USDIX gained recording a high of 75.25 and a low of 74.97.
The euro dollar pair declined recording a low of 1.4950 and a high of 1.5011, having the 16 nation's currency trading around 1.4975. The pair is taking a correctional move to the downside after it gained yesterday breaching the 1.4950 levels then closing at 1.5000. Today the pair is having a support at 1.4910 along with a resistance at 1.5020 and it is expected that the pair will show further declines according to the four hour stochastic oscillator so it may break the support and trade near the 1.4860 levels. However, the German CPI will be released today affecting the pair's trades.
Regarding the pound dollar pair, it also declined recording a low of 1.6601 and a high of 1.6787, having the royal pound trading around 1.6630. Today the pair is having a support at 1.6560 along with a resistance at 1.6718. If the pair breached the support it will target 1.6500 from where the pair will fall back to the 1.6455 levels. The British trade balance is on queue today which is going to affect the pair's trades. However, the four hour momentum indicators are supporting the downside.
The dollar yen pair is consolidating between 89.60 and 90.10 recording a high of 90.03 and a low of 89.67, having the pair trading around 89.80. The pair is having a support at 89.40 along with a resistance at 90.10 and the pair may decline according to the daily stochastic oscillator so it might breach the support to be trading around 89.00 levels.