Forex-Metal Daily Analysis -21/06/2011


Master Trader
Jul 12, 2010
Decision regarding the Greece bailout will be announced in the beginning of July.

Asian and European trading sessions:

Euro: The EU Finance Ministers meeting was held this weekend. The fact that no agreement was formed over the bailout of Greece pressured the euro on Monday. The EUR/USD demonstrated a negative dynamics during the Asian and European trading sessions.
Moody’s credit agency stated that the credit rating of Italy would be decreased, due to the released Italian GDP results. The EUR/USD dropped to its minimums of $1.4192.
In addition, the released today German producer prices dropped to 6.1% against the forecasted 6.3%.
US Dollar: Demand for the save-heaven assets grew in the light of European problems. Greenback strengthened against its competitors.
British Pound: The GBP.USD pair dropped to the lows of $1.6100 following the euro.
Japanese Yen:

American trading session:
US Dollar: During the American session the trading dynamics changed. Since the decision regarding the Greek bailout would be positive, the euro started to strengthen based on the increased optimism of the market participants.
The EUR/USD rehabilitated and reached the $1.43 mark, and the GBP/USD pair strengthened at the $1.6200 level.
Technical analysis for 21/06
The pair stays above 1.42996, it may bring pair to test 1.44400. If the pair declines below 1.42996 the pair will decline to 1.41780.
Resistance: 1.44400, 1.46222, 1.47342
Support: 1.42996, 1.41780, 1.40690
The pair is trying to decline below 1.62050, it may bring pair to test 1.60322.
Resistance: 1.63316, 1.64636, 1.65706
Support: 1.62050, 1.60322, 1.58543
The pair will be able to reach 0.85939 in case if 0.84685 is broken.
Resistance: 0.84685, 0.85939, 0.87214
Support: 0.83541, 0.82483, 0.81356
If the pair breaks 80.438 the pair will try to reach Moving Average (100) at 81.399.
Resistance: 80.438, 81.399, 82.219
Support: 79.707, 79.070, 78.345
The pair is declining to 1.05332. If this level is broken the pair will decline to 1.04407.
Resistance: 1.06164, 1.07005, 1.07739
Support: 1.05332, 1.04407, 1.03535