Today in the markets we see there is optimism as the stock markets are rising as a result of Japanese industrial production climbing last month while China raising its growth expectations. Although there is low volume in the market as a result of the Holidays ahead of the ending year, we see the dollar lose strength versus major currencies while the Dollar Index which usually gauges strength of the dollar against six major currencies is currently traded 77.55 while recording a high of 77.85 and a low of 77.53.
The euro dollar pair is currently traded at 1.4403 between the support of 1.4380 and the resistance of 1.4416. The momentum indicators on the one-hour charts are showing us that the pair is forming a sideways wave while recording a high of 1.4412 and a low of 1.4352. The volume indicator further supports our fact of low trading as on the one-hour chart we see there is low volume in the markets.
Now turning to the pound, we see that the United Kingdom markets are closed as a result of the Boxing Day, yet the pound has more momentum over the dollar as result of the optimism which has investors more interested in the higher yielding assets. The GBP/USD is currently traded at 1.5979 between the support of 1.5974 and a resistance at 1.6000 while recording a high of 1.6003 and a low of 1.5930. The four-hour charts here are showing us that the pair is consolidating from the lack of trading in markets.
The dollar yen pair is like the pound dollar consolidating on the one and four-hour charts as shown by the momentum indicators while the pair is being traded at 91.55 while recording a high of 91.76 and a low of 91.40.