The euro and the pound started trading this week gaining against the weakened dollar as Optimism spread in the currencies market when the G 20 finance ministers recommended maintaining stimulus plans to guarantee a strong and stable recovery. The USDIX dropped from its open at 75.62 recording a low of 75.34 and a high of 75.71.
The euro dollar pair rallied recording a high of 1.4942 and a low of 1.4852, having the 16 nation's currency trading around 1.4939. The pair is having a resistance at 1.4990 along with a support at 1.4900. The pair is anticipated to show further gains according to the four hour stochastic oscillator so it may breach the resistance to trade near the 1.5035 levels. Germany's current account and industrial production will be released today that will affect the pair's trades.
Regarding the pound dollar pair, it inclined as well recording a high of 1.6734 and a low of 1.6615, having the royal currency trading around 1.6735. The pair is having a resistance at 1.6785 along with a support at 1.6650. If the pair breached the resistance it will target 1.6840, while if the support was breached the pair will be trading near the 1.6600 levels. However, the pair is trading in an overbought area according to the daily momentum indicators.
Finally, the dollar gained against the Japanese yen recording a high of 90.21 and a low of 89.76, having the pair trading around 90.10. The pair is having a resistance at 90.45 along with a support at 89.85. The pair will be trading around 90.90 levels if it broke the resistance and if it broke the support it will be trading near 89.30 levels. Yet, the pair is trading in an overbought area according to the one hour stochastic oscillator.