The U.S. economy released its existing home sales for the month of December which is worse than the projected and prior readings, as the housing sector remains shaky from the worst economic crisis since World War II, is weighing on the strength of the dollar as it means that investors are worried about the outlook of the nation. The Dollar Index, which usually measures strength of the dollar versus six major currencies, is currently traded at 78.22 while recording a high of 78.33 and a low of 78.02.
The euro zone today lacked major economic data yet we see the euro losing strength against the federal currency as the pair is being traded at 1.4146 while recording a high of 1.4193 and a low 1.4127. The charts reveal that there is currently a support at 1.4125 and a resistance at 1.4210 while the volume indicator on the one-hour chart shows us that there is high volume in the markets.
The pound is climbing in the markets versus the dollar ahead of the United Kingdom fourth quarter GDP reading which is expected to show that the nation grew by 0.4 percent. Investors are looking forward to the outlook of the nation which is causing them to buy the pound versus the dollar therefore boosting the pound in the markets. The pair is currently traded at 1.6173 between the support of 1.6130 and the resistance of 1.6210 while recording a high of 1.6192 and a low of 1.6094. The momentum indicators are showing us that the pair is being traded close to an overbought area.
The USD/JPY pair is consolidating between the support of 89.80 and the resistance of 90.85 at 90.09 while the pair records a high of 90.33 and a low of 89.80. The momentum indicators on the one-hour charts show us that there is a downwards trend.