Back
2 May 2013
Forex: USD index finds an alley on FOMC
FXstreet.com (Barcelona) - USD index is last trading around the 81.63 level, recovering from fresh 2-month lows at 81.33, printed on the back of lower than expected US ADP employment data, showing an increase estimate of +119k, when +154k was expected, coming from previous month of +131k. The index has lost -0.91% in value for the week so far. USD index found support around the 81.40 level following FOMC statement.
The index broke below important support and Fibo level yesterday around the 81.74 and was unable to find bids above it after that, falling to fresh lows as EUR/USD was breaking higher above 1.3200, and US bonds printed fresh 2013 highs above the 134.50 for the 10 year note, or yield below the 1.64%. Oil also eased more than $2 at some point in time while Gold printed fresh weekly lows at $1440, going against natural negative correlation with USD.
Immediate support to the downside for USD index lies at recent mentioned fresh 2-month lows at 81.33, followed by Nov 21 highs/50% retrace of 78.9/83.5 leg up at 81.20/26, and Feb 25 lows at 81.06. To the upside, closest resistance shows at current levels as yesterday's lows 81.63, followed by April 16 lows at 81.76, and April 29 lows at 82.03.
The index broke below important support and Fibo level yesterday around the 81.74 and was unable to find bids above it after that, falling to fresh lows as EUR/USD was breaking higher above 1.3200, and US bonds printed fresh 2013 highs above the 134.50 for the 10 year note, or yield below the 1.64%. Oil also eased more than $2 at some point in time while Gold printed fresh weekly lows at $1440, going against natural negative correlation with USD.
Immediate support to the downside for USD index lies at recent mentioned fresh 2-month lows at 81.33, followed by Nov 21 highs/50% retrace of 78.9/83.5 leg up at 81.20/26, and Feb 25 lows at 81.06. To the upside, closest resistance shows at current levels as yesterday's lows 81.63, followed by April 16 lows at 81.76, and April 29 lows at 82.03.