Majors dropped slightly against the U.S dollar today, despite cheerful fundamentals witnessed in the euro area yesterday concerning the industrial new orders that came better than expectations.
The euro dollar pair declined slightly recording a low of 1.4275 and a high of 1.4308, having the union currency trading around 1.4295. The pair is taking the same downtrend that started yesterday, despite the industrial new orders signaled recovery in the union's industrial sector. The pair is having a support at 1.4255 along with a resistance at 1.4315. Today the final GDP reading for the German economy will be released and it may support the euro to gain and maybe breach the resistance. However, momentum indicators on the daily scale are indicating that the pair is trading in an overbought area.
Regarding the pound dollar pair, it is consolidating between 1.6430 and 1.6380, recording a low of 1.6382 and a high of 1.6427, having the royal pound trading around 1.6420. The pound is taking a downside direction since last week and today we saw the pair trading in the 1.6380 level that may be followed by further declines. The pair is having a support at 1.6380 along with a resistance at 1.6445. The stochastic oscillator on the daily charts is supporting the downtrend so we may see the pair breaking the support to target 1.6350.
Finally, the dollar yen pair dropped reaching a low of 93.90 and a high of 94.55. The pair is having a support at 93.85 along with a resistance at 94.35. U.S consumer confidence is on queue today and it may help the dollar to gain, while momentum indicators on the four hours scale are indicating that the pair is trading in an oversold area.
