Daily-FX-Market

The EUR/AUD, a widely used currency pair for carry trades, fell over 250 pips yesterday, slipping from 1.5000 to around 1.4750. Gold continues to rally, while Oil prices broke out of their slump to rise 4.0%. The OECD recent statement has certainly helped move the markets. The international organization announced that it does not foresee the occurrence of a double dip recession; however, remains concerned that bank finances around the world continue to be vulnerable
Up ahead, economic news is light today; therefore, conditions remain optimal for weakness in safe haven currencies such as the Dollar and Yen, with increased momentum towards to riskier currencies.

EUR/USD
Renewed debt concerns about the Euro-Zone continue to strain the single currency. In overnight forex online trading, the EUR/USD slipped to fresh low of 1.2153, trading just a few pips above the 4-year low it hit last week. However, the highly traded pair has since recovered, and managed to touch on a high of 1.2275 in this morning’s Asian session.  Nonetheless, EUR/USD sentiment remains fairly negative which may limit any additional advance in the pair to its 1.2350 resistance.
Support/Resistance 1.2145/1.2350

GBPUSD
The GBP/USD seems to be strengthening, as the pair successfully bounced off of its 1.4250 support several times over the last seven trading days. The Pound’s recent movement against the Dollar suggests that demand for the pair could be rising. If it continues to trade out if its 1.4250/1.4500 trading range we may see a breakout to the upside occur.
Support/Resistance 1.4250/1.4510

There is a rise in the opening session of Forex in European stocks today. The stocks high will provide support to risks which will lead to forex online market consolidations. We hear the news of the BoC market that it will announce the interest rate hike on first June as anticipated by the market. Now it can be said about the curremcies growth rate is mainly depenedent on the Boc hike. CAD/JPY is still weak although it recovers from the past week’s sharp fall. The currency pair is still in the bearish trend even though the market holds a 86.26 minor resistance. In USD chart it is seen that some support is seen around 55 EMA in four hours. There was a break out shown by the currency pair EUR/GBP at 0.8618 level. If it break of at 0.8427 level then it will confirm the decline resumption.

In Asia there is a fall is shown in the EURO currency tumbles down to 1.2385 from 1.2370 level. This is due to the move in Bank of Spain also some austerity programs supported that has been launched in order to provide support to weaker euro zone’s member countries to get recover from the debt crisis. There was a big fall in EURO currency pair that is EUR/JPY is shown that is of 110.10 points. AUD/JPY falls to 73.50 from the 74 level and also a drop down shown in the USD/JPY to 90 level.

Overall it can be said that market is still in the consolidation state and there is a risk shown in the Dollar and Yen sell-off. The euro fall is limited to some extent as predicted in the Foprex market. Due to solid economic data out in the US the Dollar gets the safe side flow and there is a dynamic move shown by the Gold in Asian market. These are all the lastest update about the Forex market till now.

The USD shows a safe flow in the economy chart reaches to the 86.0 level, although there is a strong support is given by the overseas interest rate of US refunding embedded high demands for the dollars. This also helps the market in viewing their medium-term approach may be reach to the high of 89.6 high of the March 2009. The snugged resistance is shown at 86.76 in the USD.

EUR currency remains in their downtrend this week regardless of the Greece aid-package details that favors to the debt crisis facing countries belong to the euro zone are Greek, Spain and Portuguese. The austerity package finally gets the approval this week which in turn provides a flip in single currency and equities. EUR/USD currency pair has showed on and off this week and were supposed to touch low of 1.234.

This week is beneficial for the currency pair of USD/GBP because of the UK elections, this helps the pair to reach high of 0.8620. The BoE not make any favor for the GBP against other currencies in G10, it only creates a resistance line for the euro currency so that it can snugged to the place where it is.

There will be a relief expected in the next week’s forex online session because of the three major targets that is maturing of Greek 10y debt package, Ecofin meeting along with the buying of ECB bonds. For the investors, it is only be said that “When there is a will, there is a way”. Hope for well!!!