So far hopes and traders' appetite for risk are boosted throughout the currencies market as the U.S. housing data released today came out cheerful and better than forecasts, having the sales of the country's new homes rising in June climbing by 23.6% from a prior major slump of 32.7%.
In fact, this persuaded traders that the worst of the fall that was created mainly by the expiration of the government tax credit program may be over, while that overall earnings posted by huge U.S corporations are coming out better than forecasts up till now, which corroded the dollar refuge appeal to watch the dollar index, which tracks the strength of the dollar in front of a basket of currencies, declining on the several time charts to trade so far around 82.01 recording a high of 82.65 and a low of 82.00.
As a result, the euro-dollar pair is climbing slightly to the upside but is forecasted to start plunging according to the one-hour and four-hour stochastic oscillator, having the Union currency now trading around $1.2994 recording a high of $1.3000 and a low of $1.2876 with a resistance seen at $1.3030 and a support at $1.2775.
However, as a result of technical movements, the pound-dollar pair is so far consolidating with the royal pound trading at $1.5487 recording a high of $1.5518 and a low of $1.5407 with a resistance at $1.5555 and a support shown at $1.5360, knowing that the pair shows a tendency to fall to the downside according to the four-hour momentum indicator.
As for the dollar-yen pair, it is narrow trading between a resistance level seen at 87.30 and a support level witnessed around 85.35 as mixed signs are shown so far throughout the momentum indicators at different time scales, having the pair trading around 86.92 recording a high of 87.71 and a low of 86.80.