The euro and pound started declining against the green currency this week. The USDIX; a gauge of the dollar's strength against a basket of major currencies, inclined recording a high of 78.38 and a low of 78.17.
The euro dollar pair declined, recording a low of 1.4277and a high of 1.4313; having the union currency trading around 1.4275. Last week the pair failed to breach the 1.4400 resistance level and fell back into 1.4250 levels; today it is having support at 1.4255, along with a resistance at 1.4315. If the pair broke the support level it will target 1.4220, while if the resistance was breached the next target will be 1.4365. According to the stochastic oscillator on the four hours charts; the pair is trading in an oversold area.
As for the pound dollar pair; it dropped recording a low of 1.6224 and a high of 1.6300, having the royal currency trading around 1.6230. The 1.6300 is representing a strong resistance that the pair can't breach and it is likely to break the support level at 1.4200 levels, which was attempted to be breached last week. Today, the pair is having support at 1.6180 along with a resistance at 1.6300. Momentum indicators on the four hours scale are supporting the downtrend and the pair is expected to breach the support to target 1.6140.
Finally, the yen gained against the dollar and the pair recorded a low of 92.53 and a high of 93.44. The yen rallied after optimistic fundamentals released today from Japan; showing that the industrial output climbed 1.9% in July, and retail sales gained 0.4% opposing forecasts. Today, the pair is having a support at 92.25, along with a resistance at 93.45. So far, the pair is currently trading in an oversold area, according to the daily chart stochastic oscillator.