Risk appetite returns with hopes of Greek deal

By TraderVox.com

Euro continues to be the main focus of attraction during the US session. Reuters reported that the Greek deal will be put in front of politicians. If this is to be believed then it is a good development for Euro. The single currency reacted positively to the developments and has broken the resistance of 1.3230 successfully which it was unable to breach four times last week.

The upbeat sentiment in the market propelled the Euro to a high of 1.3268, level last seen on 12th December. The resistance now lies at 1.3300 and above at 1.3370. The support now can be found at 1.3200 and below at 1.3120.It is currently trading at 1.3249, up about 0.90%.

The sterling pound also followed the US dollar weakening move and surged to close to 1.5900 levels. It pierced through 1.5900 mark briefly to print a high of 1.5903, levels last seen on 15 November. The resistance now lies 1.5900 and above at 1.5940/50 levels. The support may now be found at 1.5860 and 1.5820. The pair has surged half a percentage today.

The US dollar plummeted against the Swiss Frank following the general trend and broke the 0.9200 levels. It is now trading around 0.9125, down about 0.70% and threatening the 0.9100 levels. The support may be seen at 0.9110 and 0.9080. The resistance may be seen at 0.9150 and 0.9200.

The USD/JPY is currently trading at 76.85, up about 0.40%. It printed a high 76.96. It failed to break an important resistance of 77. Support now may be found at 76.80 and resistance at 77.

Australian dollar did not rally like Euro and GBP but it regained an important level of 1.0800. The pair failed to break the strong resistance of 1.0810/20. The high of 1.0821, printed during the European session is still in tact. The Australian dollar is currently trading at 1.0802, still up about 0.70%. The support now lies at 1.0780 and 1.0750. The resistance may be seen at 1.0810 and 1.0900.

The dollar index plummeted well below 79. It is currently trading near its low of the day at 78.63. The low so far is 78.56. The risk appetite has returned during the US session after Bernake expressed the concern over slow recovery of US economy.

Article provided by TraderVox.com

FX_Trdr

13 years ago