In the currency market on Monday movement of quotations was mixed. The U.S. dollar continued to fall against the British pound, but, nevertheless, managed to strengthen relative to the Australian dollar. With respect to the euro dollar ended the afternoon session virtually unchanged. The reason for the low activity in the market are undoubtedly the low trading volumes, which are peculiar to Monday, and the absence of any significant news. On the economic data today, and it will not be any surprises. We can only state the facts.
EUR/USD is trading above 1.33, which restrains the euro from falling down. The pair also remains a big question, from a technical point of view, the euro presses downward trend line with the fundamental - weak economic growth. Yes, the EU has pleased the market participants good economic data, but experts believe that it is a temporary success in the general state of crisis is still inherent in the Eurozone economy, and it's possible to further ECB rate cuts. This situation makes the pessimistic view on the prospects for the euro in the future. The most significant resistance for the pair EUR/USD is at 1.34, the support we have seen before, at the level of 1.33 .
The British pound showed growth on Monday and strengthened against the U.S. dollar. Apparently, the support, which is located at the level of 1.56 is significant support for the bulls. As long as the pair GBP/USD will not be able to consolidate below this level upward movement does not lose its relevance. Reducing the pound will be difficult, and because after the support at 1.56, there is still no less important psychological level of 1.55, which will also restrain reduction Intraday GBP/USD. Traders should keep in mind that with strong growth, such as we are seeing on the British pound, is not excluded corrective movement, so the best strategy is to buy on pullbacks.
There was a false start at the Australian, who was unable to continue its growth. Showing a strong decline on Monday, with AUD/USD continues to fall today. The pair has already overcome the level of 0.91, and now moves to the level of 0.90 . Level of 0.90 is in our view a watershed, the movement below this point will increase the downward pressure on the pair AUD/USD. First of all, though, we can expect a rebound, while fixing below 0.90 - sell.Social button for Joomla