UFXBank Daily News: Gold closed at $1852.20

Posted by admin on August 22, 2011 under forex market | Be the First to Comment

USD Dollar (USD) – In forex trading, the U.S. Dollar fell against most of the major currencies as traders this week expected Federal Reserve Chairman Ben Bernanke to signal that the Central Bank will start a new monetary policy in order to help the United States economy. The Stock markets closed negative as the Dow Jones fell by 1.57% and the NASDAQ also fell by 1.62%. Crude oil dropped by 0.2% and closed at $82.26 a barrel, after Morgan Stanley and Deutsche Bank AG cut their forecasts for global economic expansion. Gold (XAU) strengthened by 6.30% last week and closed at $1,852.20 an ounce– an all time record– due to demand for an investment haven. Today, the MBA Delinquency Rates are expected at 7.76% vs. 8.32% previously.

Euro (EUR) – The Euro strengthened against the U.S. Dollar as currency traders trusted Trichet to save the European countries with budget deficits, like Greece and Portugal. The momentum is bullish, facing a strong resistance at 1.4440. The EUR/USD traded with a low of 1.4381 and with a high of 1.4389. No economic data is expected today.

EUR/USD – Last: 1.4365

Resistance	1.4440	1.4410	1.4580
Support	1.4355	1.4310	1.4270

British Pound (GBP) – The Pound strengthened against the greenback after a five day rally. The currency declined after the Public Sector Net Borrowing came out -2.00B better than the forecasted 0.20B last Friday. The trend for the pair remains bearish if the pair succeeds to break its support level of 1.6480. Overall, the GBP/USD traded with a low of 1.6485 and with a high of 1.6507. No economic data is expected today.

GBP/USD – Last: 1.6486

Resistance	1.6520	1.6550	1.6620
Support	1.6480	1.6390	1.6330

Japanese Yen (JPY) – The Yen weakened against the USD, Euro and Pound during the Asian section. The USD/JPY has been struggling around the 76.50 – 76.90 levels. The pairs bullish momentum has increased after it didn’t succeed to break above the support level of 76.30. Overall, the USD/JPY pair traded with a low of 76.54 and with a high of 77.20. No economic data is expected today.

USD/JPY-Last: 76.89

Resistance	76.85	77.00	78.50
Support	76.60	76.30	76.00

Australian dollar (AUD) Australia’s dollar was 0.9 percent from a one-week low versus the U.S. currency on signs that the global economy is slowing, which in turn reduced demand for higher-yielding assets. The trend for the pair starts the week as bullish, but if it doesn’t pass the resistance at 1.0480, the momentum will return bearish. No economic data is expected today.

AUD/USD – Last: 1.0402