Rate touched an early session of $1.4184 in Asia before getting knocked back from around $1.4181 to $1.4150

<p>EUR/USD Range: 1.4150 – 1.4194 Support:1.4100 Resistance: 1.4230 Rate touched an early session of $1.4184 in Asia before getting knocked back from around $1.4181 to $1.4150 as […]</p>

EURUSD
EUR/USD
Range: 1.4150 – 1.4194
Support:1.4100
Resistance: 1.4230
Rate touched an early session of $1.4184 in Asia before getting knocked back from around $1.4181 to $1.4150 as markets reacted to S&P’s downgrading of Portugal (following Fitch move Thursday), leaving the door open to a further negative move, possibly by next week. The move lower was tempered by EU van Rompuy comments that an agreement on ESM had been reached. Rate recovered to $1.4181 before settling back between $1.4165/75 ahead of the European open, seemingly brushing off the S&P move and realization that Rompuy’s comments referred to a decision to postpone a final decision until June. Early Europe popped rate up to $1.4193 (61.8% $1.4220/1.4150), meeting resistance before slipping back to $1.4185. Underlying tone remains buoyant, rate continues to be supported by rate hike expectations and able so far to brush off negative news.
GBP/USD

 

 

USD USD 

 

Range: 1.6100 – 1.6142
Support: 1.6050
Resistance:1.6230
Strong general demand for the euro pushed euro-sterling to fresh 2011 highs of stg0.8809 (meeting resistance from a long term trend line), which in turn pressured cable to the lows. Cable consolidated these losses through the Asian session, contained within a range of $1.6099/1.6132, opening Europe around $1.6110. The cross was held between stg0.8787/0.8803, currently around stg0.8800. Demand remains in place to $1.6090, more at $1.6075/70 ahead of stronger area between $1.6060/50 ($1.6060 Mar 18 low). One trader has suggested that while rate holds above $1.6060 seen keeping hopes alive for an eventual push back toward recent highs at $1.6403.
Gold

Precious metals rallied strongly yesterday morning as safe haven demand continued to dominate, with spot Gold opening at $1438 and posting a new all time high of $1447.80 in the afternoon before some serious profit taking emerged sending the metal spiraling down to $1423.80 and closing the day at $1431.20. Spot Silver behaved in a similar fashion opening at $37.40 recording a fresh 31 year high of $38.16 before crashing back to $36.85 and closing out the session at $37.16. Both metals have seen some small upward momentum in Asia this morning with Gold edging up to $1435.00 and Silver to $37.63. Support for spot Gold now lies at yesterday’s low of $1423.80 and $1419.50 with resistance towards $1440.40 and the new all time high. Silver has resistance at $38.16 and then the next psychological resistance at $40.00, with support rising up to $37.20 and $36.85.

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