The Euro experienced a temporary boost in today’s Asian session, rising from a session open of 1.4137 to reach a peak of 1.4221, a move which saw it break past a previous peak and break its recent downward trend. The single currency did hold firmer in the session after having dropped by over 100 pips in yesterday’s trading and reach 3 week lows, prompted by the recent worries in Greece regarding a second bailout. The EURUSD pair dropped to a low of 1.4072 in yesterday’s mid sessions, finding support just above the May 26th low as today’s session saw it retrace fully yesterday’s downward movement. The ECB monthly report, due at 08:00 GMT is the next highly anticipated Euro news, expected to see movement in the single currency, as the current economic situation of the Eurozone will be revealed.
The Sterling experienced high correlation with the Euro in today’s first session, rising by some 60+ pips in the first part of the session before falling back on its gains and coming back to trade near its session open of 1.6103. Strong support for the Sterling is seen at the May 24th low of 1.6055 with further support around 1.5930. Resistance for the GBPUSD is seen around the 55-Hourly moving average around the 1.6190’s.
The Australian Dollar has been trading in a range between 1.0475 – 1.0575, rising in early session before pulling back to trade at the session open levels. Limited news from Australia sees the Aussie indifferent as to which way it may move next; resistance is thought to be relatively firm at 1.0575 as it currently signifies a previous peak from the recent hourly downtrend as well as being a level relatively close to the current 55-Hourly average. Against its neighboring Kiwi, the Aussie was little changed around the 1.3104 mark.
The USDJPY pair had a relatively smooth session, dropping no more than 20 odd pips – a move that was experienced in midsession when the pair took a sharp dip. The pair has recently experienced a swing on its recent uptrend which saw it rise to a 2 week high of 81.05. Support for the pair is seen at 80.47, where the pair shows to have experienced a double bounce from in today’s and yesterday’s sessions.