Dukascopy Fundamental Analysis
US Labor Department today reported a decrease in jobless claims by 5,000 to 388,000 in the last week being seven-month low. Retail sales in US increased more than expected thus stimulating output. More output creates more demand for new employees. Decrease in layoffs might be a sign of US labor market recovery after severe downturn, said Omair Sharif, an economist at RBS Securities Inc.
Dukascopy Technical Analysis
Daily maximum: 1.3534
Daily minimum: 1.3423
The Euro-Dollar pair moved lower today as the American economy showed signs of growth: unemployment claims declined to 388K versus expected 396K and buildings permits rose to 0.65, more than the 0.60M estimate.
Resistance 1 at 1.3523 has been breached, clearing the way to last two resistances at 1.3607 and 1.3742; all support (1.3388; 1.3337; 1.3202) levels remained intact. The market stance remains strongly bearish for Thursday.
Daily maximum: 104.13
Daily minimum: 103.40
The common European currency inched lower today versus the Japanese Yen and pierced the market mean at 103.81 as worries over the EU debt crisis caused investors to seek for safe-havens.
None of the resistance (104.17; 104.76; 105.74) and support (103.19; 102.81; 101.83) levels has been tested yet. The daily market stance remains strongly bearish.
Daily maximum: 1.5801
Daily minimum: 1.5692
The UK economy shows no signs of recovery therefore making investors selling the British currency versus the American dollar, crossing the market mean at 1.5753.
While none of the support (1.5661; 1.5617; 1.5497) levels has been breached, resistance 1 at 1.5782 got hit, exposing the last two resistance lines at 1.5859 and 1.5979, respectively. Meanwhile, the daily market stance is bearish.
Daily maximum: 77.07
Daily minimum: 76.92
The market mean at 77.11 has been touched in early Wednesday trading, though the pair commenced moving south as concerns over the EU debt crisis intensified.
None of the support (76.82/57;75.99) and resistance (77.41/74; 78.32) levels has been hit. The daily outlook remains bearish.
Daily maximum: 0.9235
Daily minimum: 0.9152
The American dollar continued its 2-week rally as the number of unemployment claims declined to 388K versus expected 395K. As a result, the market mean at 0.9187 was breached today.
None of the resistance (0.9249; 0.9284; 0.9374) levels has been approached whereas a breach of support 1 at 0.9159 indicates that support 2 at 0.9104 and support 3 at 0.9014 might be tested if the bearish bias occurs. The daily trading signals point at a continuation of the bullish trend ahead.