Forex-Metal Daily Analysis – 10/11/10

European counties’ budget problems pressure the euro.

Asian and European trading sessions
Euro: Growing concerns over the European budget problems continued to pressure the euro. The EUR/USD pair decreased to $1,3850 mark.
The rate managed to show a temporary positive trend and the EUR/USD pair reached the $1.3950 mark.


US Dollar: The greenback showed some strengthening against the decreased demand for the high-risk assets.
British Pound: The sterling was under pressure on Tuesday, due to the released RICS House price balance for October, which demonstrated an unexpected drop to -49% against the forecasted -39%. Previous month was at the -36% mark. The GBP/USD rate dropped to $1,6080.
Nevertheless, by the end of the European session, the sterling managed to rehabilitate to the $1.6170 mark.
Japanese Yen: The Japanese yen demonstrated stabilization, and the USD/JPY pair dropped to the level of Y80,50. The yen grew against its major competitors as China announced of its decision to tighten the monetary control measures.
Oil: Oil prices traded around the $86.90 level per barrel against the background of the US dollar strengthening.
Gold: Today the “yellow metal” has reached its new historical maximum at the level of $1422.00 per ounce.


American trading session
New-Zealand Dollar: The New-Zealand Reserve bank financial stability report was released, which did not have any specific influence on the New-Zealand dollar, and the NZD/USD pair traded around the level of $0.7818.



Technical analysis for 10/11

The pair has declined to support is at Moving Average (500) at 1.37486.
Resistance: 1.38554, 1.39600, 1.40690
Support: 1.37486, 1.35984, 1.34882
The pair has declined to support level at 1.60322 and trying to close below this level. It may bring pair to 1.58543.
Resistance: 1.60322, 1.62050, 1.63316
Support: 1.58543, 1.56722, 1.54842
The pair’s support is at 0.95510, if this level is broken the pair will decline to 0.95510. Resistance is at 0.97130, if this level is broken the pair will rise to 0.97892.
Resistance: 0.97130, 0.97892, 0.98750
Support: 0.96480, 0.95510, 0.94661
The pair is aiming to test 82.219.
Resistance: 82.219, 83.065, 84.866
Support: 81.162, 80.438, 79.707
The pair has declined to support level 1.00067.
Resistance: 1.00907, 1.01744, 1.02705
Support: 1.00067, 0.99207, 0.98436