The euro crumbled against the dollar today to hit its lowest since the early September after Standard & Poor's followed Fitch and downgraded Greece's credit rating to BBB+ and said that the nation is under thorough review and possible for further downgrades unless they attempt to take considerable steps towards adjusting their fiscal stand and attending to the swelling deficit. The Greek deficit is the highest among the EU and despite the Prime Minister's actions to deal with the deficit; accordingly the euro was under heavy selling pressures which deteriorated against its counterparts especially the dollar.

The slight data that were released today were not strong enough to help the euro stabilize, where on the contrary to that, we can still see the effects of the FOMC decision last night still valid in the market. The feds announcement of the end for some lending and liquidity facilities and acknowledging improvement in economic conditions powered a bullish dollar to invade the market building further upon its gains against the 16 major traded currencies.

Moving to the royal economy; the streak on joy failed in holding its grounds, where retail sales opposed expectations and contracted in November for the first in five months, pressuring sterling into a new bearish wave as the economy remains to linger quite behind its peers as the weakness prevails more extensively than other economies that at least managed to set a quarter of growth in the past three months.

Speaking of the session's movement so far, the euro declined strongly from the highest reached today at 1.4537 to reach the lowest so far at 1.4325; breaching 1.4470 ignited a selling wave that took the pair further south and now targets extended bearish areas about 1.4280 at least. Many expect that this wave might prevail till the end of the year and any trading below 1.4415 will keep the downside wave valid despite the heavy selling saturation seen over intraday basis.

Sterling's attempts to consolidate against the US dollar were invalidated today with ghastly retail figures and the continued negative pressures on the royal economy. Sterling dropped from the highest set against the dollar today at 1.6339 in a strong bearish wave that took it towards the lowest at 1.6077. The heavy decline that sterling witnessed was a reflection to the pessimism over the outlook for UK that is still severely weaker than other nations and fears that they will follow Greece if their budgetary problems continue to inflate!

Trading below 1.6155 for sterling will keep the bearish wave active and a daily closing below this level will pressure a new downside wave that might lead the pair towards 1.59 areas again.

For the third consecutive day, we can see greenback extending its superiority over the Japanese yen. The pair declined today to set its highest at 90.25 rising from earlier lows around 89.50. The Japanese data today were not encouraging today as leading indicators dropped and government comments were favoring the yen's decline.