Traders dumped the U.S dollar and went after risky and higher-yielding currencies including the euro on Monday, propelling the dollar to fall against its peers amid optimism over a near cure for Europe's festered sovereign debt crisis and positive signs of growth in the world's largest economy.

If truth be told, investors grew optimistic that European leaders are maximizing their efforts to stem the region's debt crisis, after a draft guideline of the European Financial Stability Facility released earlier on Monday signaled Europe's bailout fund may underwrite nearly 30 percent of sovereign bonds.

In addition, a report signaling that thanksgiving holiday sales increased to a record high of about 6.6 percent, along with better than forecasted sales of newly constructed residences in the U.S helped boosted confidence over the U.S economic growth, as consumer spending drives about two third of the economic activity in the U.S.

Meanwhile, the Dollar index which measures the performance of the U.S. dollar against a basket of currencies including the Euro, the Pound, and the Yen, dropped from today's opening level of 79.31 to currently trade at 79.08 recording its highest level at 79.40 and its lowest at 78.76.

Gold prices surged as the dollar fell to currently trade at $1710.84 per ounce from the opening price of $1693.30 per ounce. Crude oil dropped to reach $97.66 after opening at $98.29 per barrel.

The Euro rose slightly against the dollar on Monday, after opening at $1.3309 as the EURO/USD currently trades around $1.3311, while recording a high of $1.3399 and a low of $1.3272. Now, the pair breaches the key resistance at $1.3380, then the pair will be targeting the next resistance level at $1.3400, but the support level remains at $1.3350 at the meantime.

The British Pound inclined against the dollar on Monday, where the pair is currently trading around $1.5507 after opening at $1.5485 levels, while recording a high of $1.5594 and a low of $1.5459. If the GBP/USD breaches the key support level at $1.5600, then the pair will be targeting the next resistance level at $1.5630, yet the $1.5460 level remains as the support level at the time being.

Last but not least, the U.S dollar fell before the Japanese Yen at today's trading, after the USD/JPY pair started trading at ¥77.68, while recording the high of ¥78.24 and a low of ¥77.58 and currently trades around ¥77.95. After all, the JPY/USD is targeting the resistance level at ¥78.45 after breaching the key resistance at ¥77.90, meanwhile, the ¥77.90 remains as a support level at the meantime.