Now that details of Ireland’s bailout are common knowledge, should this not be a confidence boost for the Euro?

<p>  EUR/USD Range: 1.3075 – 1.3151 Support: 1.3015 Resistance: 1.3365 Now that details of Ireland’s bailout are common knowledge, should this not be a confidence boost for the […]</p>

 

EURUSD

EUR/USD

Range: 1.3075 – 1.3151
Support: 1.3015
Resistance: 1.3365
Now that details of Ireland’s bailout are common knowledge, should this not be a confidence boost for the Euro? The 85 billion euro injection into the Irish economy has failed to kick-start the Euro; with sellers moving away from Ireland onto the next issue. With this we will no doubt see Portugal under pressure to ask for a pre-emptive bailout, also adding to the woes is that Spain has seen its borrowing costs soar since the Euros inception. The concern is now not of a specific Irish and Greek issue, but a European wide issue..

 

AUDUSD

AUD/USD

Range: 0.9592 – 0.9659
Support: 0.9550
Resistance: 0.9780
The Aussie Dollar lost ground across the board overnight. The primary cause is risk aversion in Asia following falling stocks. In particular the Shanghai composite Index lost 3.1%, amid rumours of a Chinese rate hike. AUD/USD has broken through the 0.9600 mark, but has since recovered currently trading around 0.9630. The next big test for the Aussie Dollar is the GDP reading on Wednesday, as a poor number could add to the downward pressure on the currency pair.

 

GBPUSD

GBP/USD

Range: 1.5532 – 1.5572
Support: 1.5500
Resistance: 1.5710
GBPUSD has moved lower throughout the Asian session, mirroring the Euro’s move. This week the Pound has pushed lower against the US Dollar, and looks likely to continue its Southern journey in the near term as debt fears in the Euro-zone continue to rattle the markets. With a light economic calendar in the UK, market participants should not rule out additional losses in the currency as risk aversion will likely be the main driver this week due to war concerns in Korea and debt contagion fears in the Eurozone.

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