Forex-Metal Daily Analysis – 09/08/2011

S&P downgrades the US credit rating.

Asian and European trading session:
Euro: The euro showed a slight increase after the released information regarding the ECB intentions to buy Italy and Spain bonds in order to limit the spreading of the Euro-zone crisis.

But after the published Euro-Zone Sentix Investor Confidence in August (which showed unexpected drop), the EUR/USD pair declined to its lows at $ 1.4324 area.

US Dollar: The announcements that the international rating agency Standard & Poor’s downgraded the credit rating of the United States on Friday and that the S & P agency maintained a “negative” outlook for the U.S. economy and forecasted that the rating could be downgraded to AA from AA + had a very strong influence on the markets. As a result, the greenback retreated to a record-breaking lows against the franc and reduced against the yen.
British Pound: The GBP/USD pair tested the highs of $1.6470 before falling back to $1.6400.
Japanese Yen: The yen is rising against the other currencies on the background of falling stock markets in Asia. The USD/JPY pair was trading in the range of Y77.70 – Y77.90.

American trading session:
Swiss Franc: The Swiss franc was supported as one of the save-heaven currencies.
Gold: The gold price renewed a record high of $1719.10 per ounce.

Technical analyses for 9/08

The key level for the pair is 1.40690, if this level is broken the pair will decline to Fibonacci 61.8% at 1.38867.
Resistance: 1.42996, 1.44400, 1.46222
Support: 1.41780, 1.40690, 1.38554
The pair couldn’t stay above below Fibonacci 38.2% 1.64636. MACD shows sell signal. Key level is 1.62050 after which may be expected decline to 1.60322.
Resistance: 1.63316, 1.64636, 1.65706
Support: 1.62050, 1.60322, 1.58543
The pair has broken 0.75450 and aiming to 0.74362.
Resistance: 0.75450, 0.76605, 0.77849
Support: 0.74362, 0.73265, 0.71993
The pair is aiming to 76.463.
Resistance: 77.539, 78.345, 79.070
Support: 76.463, 75.425, 74.414
The pair had nearly touched first level of correction Fibonacci 23.6% at 0.98759. The pair may return to this level again.
Resistance: 1.00907, 1.01744, 1.02558
Support: 1.00067, 0,99207, 0.98436