Greece and Italy remain strongly in focus as Italian PM Silvio Berlusconi will resign once austerity measures, included in the EU deal are approved

<p>USD/JPY Range: 1.6065 – 1.6119 Support: 1.6060 Resistance: 1.6120 Cable closed in New York at 1.6106, off New York afternoon extended highs of 1.6130. The […]</p>

GBPUSD
USD/JPY
Range: 1.6065 – 1.6119
Support: 1.6060
Resistance: 1.6120
Cable closed in New York at 1.6106, off New York afternoon extended highs of 1.6130. The pullback continued into early Asia, with the rate marking overnight lows at 1.6084 before fresh demand emerged to reverse the early move. The rate moved higher in tandem with euro-dollar, marking overnight highs at 1.6119 before momentum faded. It then eased lower through the balance of the session, marking fresh lows at 1.6083 into early European dealing. Euro-sterling remained below 0.8600 through Asian dealing, with trade contained within 0.8584-0.8597. Support seen between 1.6060-1.6050, with stops placed on a break below. Offers remain between 1.6120-1.6130.
EURUSD
EUR/USD
Range: 1.3784 – 1.3858
Support: 1.3805
Resistance: 1.3760
Euro-dollar closed in New York at 1.3840, off session highs of 1.3847, that were seen after the market reacted positively to reports that Italian PM Berlusconi had offered to stand down as soon as the Parliament passed the austerity measures plan. Euro-dollar extended its corrective pullback to 1.3815 in early Asian trade, before turning higher to take the rate to highs of 1.38599 before momentum faded, with the rate holding off challenging stronger resistance around 1.3870-1.3871. The rate then drifted lower, eventually retesting the earlier lows ahead of the European open. Trade through Asia was described as fairly light and range bound. Stops are seen through 1.3875-1.3880, with next offers at 1.3800-1.3805. Bids at 1.3815-1.3800, with 1.3760 viewed as key support.
Gold
Range: 1,786.31 – 1,794.27
Support: 1,777.10
Resistance 1,803.00

 

Gold prices pushed up through the 1,800 level yesterday in New York but eased back following news of the imminent departure of Italian PM Berlusconi. Firmer crude oil prices also helped to underpin the metal and ongoing uncertainty over Greece and Italy will largely help to shore up gold prices and safe-haven appetite in the near future. The resignation announcement then prompted some profit taking and gold slipped down to 1,777.10 before a bounce into the close at 1,786.25. Asian markets have seen a further rise back to 1,794.50, before settling around 1,790. Support today is at 1,777.10 and 1,752.50, with resistance at 1,803 and 1,816.70.
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