The euro consolidated against the green currency in today's Asian session, while the pound continued to fall. This came after Mr. Bernanke the Federal Reserve Chairman said yesterday that the worst U.S recession probably ended, but growth won't be strong enough for unemployment to decline. The USDIX fell slightly recording a low of 76.40 and a high of 76.54.
The euro dollar pair is consolidating between 1.4685 and 1.4660 recording a low of 1.4662 and a high of 1.4682, having the 16 nation's currency trading around 1.4675. The pair is having a support at 1.4615 along with a resistance at 1.4700. The euro zone's CPI that will be released today may help the euro to gain if it showed an accelerating inflation so if the resistance was breached the pair will target 1.4735. The pair is trading in an overbought area according to the daily momentum indicators.
Regarding the pound dollar pair, it declined recording a low of 1.6450 and a high of 1.6511, having the royal pound trading around 1.6455. The pair declined for the third consecutive day and it is having a support at 1.6415 along with a resistance at 1.6510. Unemployment rate in U.K is on queue today and it is expected to pressure the pound to show further declines, especially that it is expected that jobless rate will incline to 8.0%, so if the support was breached we may see the pair trading near the 1.6360 levels.
Finally, the dollar yen pair gained recording a high of 91.15 and a low of 90.77. The pair is having a resistance at 91.50 along with a support at 90.20. Today the U.S will release the CPI reading, industrial production and current account that may move the market on release. So far, the four hours stochastic oscillator is supporting the downside.