The US Dollar Index closed more than 1% down. Traders prefer the safe haven currency. Until the Greek saga takes a back seat, no US economic data reacted accordingly. Greece is expected to deliver so many releases today that volatility is likely to continue. Choppy trades are unlikely to obey the support and resistance levels. Traders can be more cautious this week.
In addition, market participants eye ADP non-farm data, non-farm employment change and unemployment rate. Besides, data on Tankan manufacturing and non-manufacturing index is due today.
Technical view: The pair opened with a gap closing below 20Dsma. The pair made a double top at 124.40 breaching the support base at 122.48. The pair has been consolidating at 122.43 for more than 12 hours. It has been consolidating at the lower levels, indicating more room on the down side. The nearest support is found at 122.10, 121.80 50Dsma and 121.00 20Wsma. Bulls’ last hope remains at 120.75. At yesterday’s session, the pair managed to cover the gap. The weekly resistance is seen at 123.60 and 124.40. Until a close below these, bears have the upper hand this week. Intraday selling is available below 122.30 towards 122.15, 122.00, and 121.80. The selling pressure is expected to accelerate below 121.80 towards 121.00 or even 120.80. Safe selling is available below 121.80
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