GBP tests $2 mark before retreating. Plenty of focus on the
CURRENCY TRADING SUMMARY –26 JUNE 2007 (00:30GMT)
- U.S. Dollar Trading (USD) was subject to further slowing in the housing sector as Existing Home Sales for the month of May fell 0.3%, from 6.01 mio (revised higher) to 5.99 mio, relatively flat on consensus. However data showed that median home prices were at their lowest levels since June 2003. In
U.S. Nigeria U.S.
- The Euro (EUR) was range bound for much of Monday’s session as despite poor data out of US markets. The EURUSD traded with a range of a low 1.3439 and a high of 1.3474 before closing the day at 1.3466 in the
New York
- The Japanese Yen (JPY) initially recovered some of its recent losses against major currencies with some investors confident that the currency recent decline was over sought. In other news, the JPY was also supported by Sunday’s annual report from the International Bank for International Settlements, which said that there was ‘clearly something anomalous’ in the low-yielding yen’s recent slide to multiyear lows against a range of currencies. Overall the USDJPY traded with a range of a low 123.31 and a high of 123.95 before closing the day at 123.56 in the
New York
- The Sterling (GBP) With lack of data publish in the UK the GBP traded higher, breaking $2 for the first time since May 1st, as investors anticipate a UK rate hike in July rather than August. Overall the GBPUSD traded with a range of a low 1.9958 and a high of 2.0006 before closing the day at 1.9986 in the
New York
- The Australian Dollar (AUD) retreated from 18 year highs (of 0.8500 levels) as investors chose to square off long positions with little follow through from poor US housing data. Overall the AUDUSD traded with a range of a low 0.8463 and a high 0.8501 before closing the day at 0.8464 in the
New York
- Gold (XAU) eased ahead off key
US
TECHNICAL COMMENTARY
| Currency | Sup 2 | Sup 1 | Spot | Res 1 | Res 2 |
| EUR/USD | 1.3326 | 1.3371 | 1.3460 | 1.3514 | 1.3556 |
| USD/JPY | 122.86 | 123.09 | 123.40 | 124.17 | 125.00 |
| GBP/USD | 1.9824 | 1.9869 | 1.9990 | 2.0008 | 2.0076 |
| AUD/USD | 0.8333 | 0.8428 | 0.8460 | 0.8502 | 0.8558 |
| XAU/USD | 643.50 | 646.50 | 651.60 | 662.35 | 674.00 |
- Euro 1.3460
Initial support at 1.3371 (June 21 low) followed by 1.3326 (Jun 14 former high). Initial resistance is now located at 1.3514 (Jun 7 high) followed by 1.3556 (Jun 5 reaction high)
- Yen 123.40
Initial support is located at 123.09 (June 20 low) followed by 122.86 (Jun 15 low). Initial resistance is now at 124.17 (Jun 22 trend high) followed by 125.00 (Psychological round number)
- Pound – 1.9990
Initial support at 1.9869 (June 20 low) followed by 1.9824 (Jun 19 low). Initial resistance is now at 2.0008 (June 25 low) followed by 2.0076 (May 1 reaction high)
- Australian Dollar – 0.8460
Initial support a 0.8428 (June 21 low) followed by 0.8333 (Jun 14 low). Initial resistance is now at 0.8502 (June 22 high) followed by 0.8558 (Jan 1989 former low)
- Gold – 651.60
Initial support at 646.50 (June 14 low) followed by 643.50 (June 13 low). Initial resistance is now at 662.35 (61.8% retracement 674.00 to 643.50 decline) followed by 674.0 (June 4 high)
