Yesterday, the EUR/USD traded with low volatility throughout most of the Asian and European sessions. The Euro then weakened after the Greek parliament failed to elect a new President after a second round of voting. Traders will now watch a final vote taking place on December 29. If unsuccessful, a snap election could be called in January sparking fears that the far- left party could take power and cause instability. At the open of the U.S session, an impressive GDP figure was released which showed that the U.S economy expanded at the fasted rate in 11 years and grew by 5% over the last quarter. This caused the Dollar to rally and the pair sharply dropped to a low of 1.2160.
Today, the pair is ranging around a 2 year low. Volatility should now decrease as markets will be closing early for the Christmas holidays. The movement is sideways. Support is found at 1.2160 and resistance at 1.2300.
The GBP/USD dropped 70 pips from 1.5590 to 1.5520 as the British Pound depreciated following a batch of weak data. The UK current account showed a deficit of 27 Billion; Analysts had expected the deficit to narrow to 21.9 billion. Yearly GDP was also released and showed growth of just 2.6%. At the open of the U.S session, GDP data was released and showed impressive growth of 5% over the last quarter. This strengthened the Dollar and pushed the pair down further to a low of 1.5490.
Today, the pair rebounded slightly and is currently trading around 1.5540. Traders should watch Initial Jobless Claims data which will be released from the U.S at 1.30PM (GMT). The movement is sideways. Support is found at 1.5500 and resistance at 1.5610
December 24, 2014 – Forex News
EUR/USD
Yesterday, the EUR/USD traded with low volatility throughout most of the Asian and European sessions. The Euro then weakened after the Greek parliament failed to elect a new President after a second round of voting. Traders will now watch a final vote taking place on December 29. If unsuccessful, a snap election could be called in January sparking fears that the far- left party could take power and cause instability. At the open of the U.S session, an impressive GDP figure was released which showed that the U.S economy expanded at the fasted rate in 11 years and grew by 5% over the last quarter. This caused the Dollar to rally and the pair sharply dropped to a low of 1.2160.
Today, the pair is ranging around a 2 year low. Volatility should now decrease as markets will be closing early for the Christmas holidays. The movement is sideways. Support is found at 1.2160 and resistance at 1.2300.
GBP/USD
The GBP/USD dropped 70 pips from 1.5590 to 1.5520 as the British Pound depreciated following a batch of weak data. The UK current account showed a deficit of 27 Billion; Analysts had expected the deficit to narrow to 21.9 billion. Yearly GDP was also released and showed growth of just 2.6%. At the open of the U.S session, GDP data was released and showed impressive growth of 5% over the last quarter. This strengthened the Dollar and pushed the pair down further to a low of 1.5490.
Today, the pair rebounded slightly and is currently trading around 1.5540. Traders should watch Initial Jobless Claims data which will be released from the U.S at 1.30PM (GMT). The movement is sideways. Support is found at 1.5500 and resistance at 1.5610
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