Reviewed Forex Trading

USD Dollar (USD) – The US Dollar traded mixed versus most majors. US stock markets finished mixed after the Existing Home Sales came out at 4.57M worse than expected at 4.66M. Fitch downgraded the credit rating of Greece to CC yesterday, making the Dollar more attractive. The stock market closed negative as the Dow Jones fell by 0.21% and the Nasdaq declined by 0.52%. Crude Oil closed unchanged after rising for the last few days, closing at $106.30 as investors fear Iran’s reactions regarding its oil exports. Gold (XAU) gained by 0.7%, closing at $1,771 an ounce. Today, Unemployment Claims are expected to come out at 350K vs. 348K previously and Crude Oil Inventories are expected to come out.

Euro (EUR) – The Euro closed unchanged versus the Dollar after Fitch downgraded the credit rating of Greece from CCC to CC. The Flash manufacturing PMI came at 49.00 lower than expected and the EUR/USD is currently considered bullish above the 1.32 support level. The pair faces its next resistance level around 1.33 and once this resistance is broken the rate might reach 1.3500.  Today, the German Ifo Business Climate is expected to come out at 108.70.

EUR/USD – Last: 1.3261

British Pound (GBP) – The British Pound declined after the MPC Meeting Minutes, with the interest rate remaining as it is, as the result of the vote was 0-0-9. The GBP/USD continues to be bearish as long as it remains above the 1.5600 support level. The pair is facing its next major support at the 1.5650 level. Today, the BBA Mortgage Approvals are expected to come out at 37.3K vs. 36.20K.

GBP/USD – Last: 1.5673

Japanese Yen (JPY) – The Yen continued declining versus the Dollar, reaching near its lowest level since August the 4^th, as demand for the safety of the Yen continued to wane. Technically, the USD/JPY broke above its strong resistance level at 80.00 and the momentum continues to be bullish. Today, the CSPI Y/Y is expected to come out unchanged at 0.10%.

USD/JPY – Last: 80.08

Canadian Dollar (CAD) - The Canadian Dollar weakened versus the Greenback after the stock market closed negative and especially after the drop in oil prices during the day. The USD/CAD momentum is bullish, facing resistance at 1.0050 and support at 0.99. The indicators are showing a strong bullish momentum. Today, the BOC Review is expected.

USD/CAD – Last: 0.9990

USD Dollar (USD) – The US Dollar gained versus most majors erasing early gains after the Greek aid package approval was digested by investors. Greece’s bailout will prevent it from declaring bankruptcy over the next month or two, but the question regarding the exit of Greece from the Euro remains open. US stock markets finished mixed, the Dow Jones rose by 0.12% and the Nasdaq declined by -0.11%. The Dow Jones briefly topped the 13,000 mark but finished at 12,965.69. Crude Oil continued gaining with a 2.19% rise, closing at $105.87 as investors fear Iran’s reactions regarding its oil exports. Gold (XAU) gained by 2%, closing at $1,759 an ounce. Today, Existing Home Sales are expected with a rise from 4.61M to 4.66M.

Euro (EUR) – The Euro erased early gains versus the Dollar after European Governments decided to aid Greece instead of calling for it to declare bankruptcy next month. Greece’s second bailout was approved, awarding it 130 billion Euros in aid. European Stock exchanges finished lower, the DAX30 declined by -0.58% and the CAC40 by -0.21%. The EUR/USD is currently considered bullish above the 1.31 support level and the pair faces its next resistance level around 1.33.  Today European, French and German Manufacturing and Services PMI will be released. Industrial New Orders are expected with a 0.6% rise versus -1.2% previously.

EUR/USD – Last: 1.3230

British Pound (GBP) – The British Pound declined after the Euro Zone Finance Ministers’ agreement on Greece’s second bailout was digested by investors. The FTSE 100 declined by -0.29% at 5,928.20 and the GBP/USD continues to be bullish as long as it remains above the 1.5750 support level. The pair is facing its next major resistance at the 1.5920 level. Today, MPC Meeting Minutes will be released and are likely to give some indication regarding future asset purchasing plans of the BOE.

GBP/USD – Last: 1.5780 

Japanese Yen (JPY) – The Yen continued declining versus the Dollar reaching near its lowest level since August the 4^th as demand for the safety of the Yen continued to wane. Technically, the USD/JPY broke above its strong resistance level at 79.50 and the momentum continues to be bullish. No major economic data is expected today.

USD/JPY – Last: 79.75

Canadian Dollar (CAD) – The Canadian Dollar weakened versus the Greenback after Core Retail Sales came out with a 0.0% change versus the 0.1% expected, indicating slower economic activity. Investors fear Iran will halt oil exports to more European countries. The USD/CAD is still on a downtrend and a break below the 0.9890 support level could lead to a fall in the pair. No economic data is expected today.

USD/CAD – Last: 0.9970