Forex-Metal Daily Analysis -25/01/2011

Collapse of the political coalition of Ireland supported the greenback.

Asian and European trading sessions:
Euro: Expectations for the strong European fundamentals supported the euro. Eventually the Euro-zone purchasing manager services index turned out to be at the level of 55.2, which was above the expectations of 54.3. The annualized Euro-zone industrial new orders resulted in 19.9% against the forecasted 17.4%. As a result, the EUR/USD maximums were reached at $1,3640.
According to the published information, the Irish political coalition collapsed, which increased the risk of the budget adoption, which has been based on the engaged country loan. Therefore, the euro started its negative trend. The EUR/USD minimum was reached at the $1.3540 mark.
According to some experts’ opinion, the technical correction of the euro is taking place after the former growth of the single currency.
US Dollar: Beginning of the current week saw the US dollar weakening.
British Pound: The sterling incurred losses due to the negative forecasts of the UK GDP data, which is planned for tomorrow.
The GBP/USD pair dropped to $1.5920 minimums.
Japanese Yen: The USD/JPY pair showed maximums at the Y82.90 range.
Australian Dollar: The released on Monday Producer price index data happened to be below expectations, therefore, the Australian dollar rate dropped.
Oil: The oil rate started to decrease, and the price reached the $88.20 level per barrel.

American trading session:
US Dollar: Expectations for the positive release of the US data on Tuesday supported the greenback as well. The Consumer confidence is expected to grow and reach 54.3 mark for January.

 

Technical analysis for 25/01

EURUSD
The pair has reached Moving Average (500) at 1.36775 which is a resistance level for the pair. The pair needs to close above this level to be able to continue rising to 1.37486. If the pair stays below 1.36775 the pair will decline to 1.35984.
Resistance: 1.37486, 1.38554, 1.39600
Support: 1.35984, 1.34882, 1.33143
GBPUSD
The pair may rise to median line at 1.62050 if breaks 1.60322.
Resistance: 1.60322, 1.62050, 1.63316
Support: 1.58543, 1.56722, 1.54842
USDCHF
The pair has declined to 0.95125. If the pair stays below this level the pair may decline to 0.93435.
Resistance: 0.95125, 0.96574, 0.98114
Support: 0.93435, 0.91658, 0.89710
USDJPY
The pair is aiming to 82.219 if stays below this level the pair may decline to 81.399.
Resistance: 83.065, 83.933, 84.866
Support: 82.219, 81.399, 80.438
AUDUSD
The pair is aiming to 0.99207 if this level is broken the pair will decline to 0.98436.
Resistance: 1.00067, 1.00907, 1.01744
Support: 0.99207, 0.98436, 0.97424