UFXMarkets -Daily Gold & Forex Trading News-27-March-2012

The US Dollar fell versus most of the majors
after Federal Reserve Chairman Bernanke said accommodative monetary policy is still needed
to reduce U.S. unemployment. On Wall Street the NASDAQ rose by 1.78% and the Dow added
1.23% to its value. Crude oil gained for a second day by 0.30% and closed at $107.15
a barrel. Gold (XAU) rose by 1.30% as an alternative to the slumping dollar, closing at $1,690
an ounce. The Euro strengthened versus the Dollar for
the third day in a row as Germany said it may back plans to increase the debt-crisis
rescue funds.. Trading above the support level of 1.3280 will keep the momentum of the pair
positive, but if the pair breaks this level, it may reach 1.3030 level again. Overall,
the EUR/USD traded with a low of 1.3191 and a high of 1.3367. The British Pound gained versus the Dollar
after risk aversion decreased causing investors to prefer higher yielding assets. The trend
for the pair remains bullish if it maintains its support level of 1.5900, but if the pair
breaks that support it may reach the 1.5720 level again. Overall, the GBP/USD traded with
a low of 1.5800 and a high of 1.5972. The Yen fell a little versus the Dollar as
the pair failed to break down it strong support level of 82.00 earlier today. Technically,
as long as the pair it trading above the support level of 82.00, the trend will remain bullish. The Canadian Dollar fell against its U.S.
counterpart for a second day in a row after comments from German leaders and the Federal
Reserve stoked demand for higher-yielding assets. The trend for the pair will continue
bearish if the pair maintains its resistance level of 0.9940.

Leave a Reply

Your email address will not be published. Required fields are marked *