EUR/USD – The EUR has stayed in a fairly tight range and as of this writing is near 1.3537 which is hovering an important support level. The German ZEW Economic Sentiment reading proved disappointing yesterday as Europe’s biggest economy proved that nothing is easy and that Germany itself cannot continually be counted on to provide good news. However the broad European ZEW Economic Sentiment mark actually showed a nice improvement and did better than its estimate. Data from the U.S. will be light today, tomorrow Existing Home Sales figures and the weekly Unemployment Claims numbers will be presented. The Single Currency has had a predominantly negative bent the past week and if it should be pushed past current support ratios could see traders try to jump onto its trend.
GBP/USD – The GBP has continued a strong play today and finds itself in the past hour above important resistance and testing new ground. Data from the U.K. proved positive via it Unemployment Rate and Public Sector Net Borrowing earlier today. The BoE released it voting results today for it Asset Purchases and Official Bank Rates without any surprises. The GBP has now returned to earnest daily resistance levels that were tested a little over a month ago. Traders know the trend but will they have enough courage to tag along for the ride?
JPY/USD – The JPY continue to trade near the weaker side of its range but below key resistance levels. Asian investors have been rather cautious the past few days. Important data will come from China via the HSBC Flash Manufacturing PMI reading early Thursday and could have an effect on the JPY via a risk appetite mode. A weaker than expected result from China could cause a bit of risk averse knock on effect.
Gold – Gold was not able to sustain its higher realms on Tuesday and for the past half day has languished near support levels. The precious metal as of this writing is near 1238.00. Commodities certainly remain a speculative play and traders should be well aware that bears have proven that they cannot be discounted easily.
Crude Oil – Crude Oil has shown no inclination to move from its consolidated value the past few days. Last week’s Crude Oil Inventories numbers surprise with a shortfall surprised the market, tomorrow’s report that awaits could be what is causing caution to have traction with the price of WTI right now.