The Euro started this week with a rally, but the weekly outlook remains bearish. EUR/JPY tested resistance at 131.84 yesterday and then declined 190 pips.
Despite registering a decline, Gold developed in a much more stable and less volatile environment during the trading session on Tuesday.
USD/JPY came into contact with last year's high yesterday and then expectedly retreated.
On Tuesday the Sterling fell twice as much as anticipated.
As the ECB has finally started to buy sovereign bonds under its QE programme, EUR/USD reacted in a strong bearish way to this news on Tuesday
Despite the expectations the Kiwi decided to cede ground on Monday. Yesterday's daily technical indicators proved to be unreliable, while today they also are pointing north.
After Friday's surge the Greenback slightly stepped lower against its Canadian counterpart. However, the sell-off was not significant, the Buck did not test any of the important supports.
On Monday the Australian Dollar opened at 0.7722 and made a 40-pip step south. Hence, the currency pair remained in a tight range between the weekly PP and S1.
Yesterday the currency pair tested the monthly S1 level, which managed to prevent advancement of the price, and settled at the lower Bollinger band around 131.43.
An attempt of Gold to return back above the monthly S1 (1,175) turned to be completely unsuccessful.
US Dollar started week by gaining value against the Yen.
On Monday, GBP/USD managed to rebound 90 pips after declining throughout previous week.
On Monday, EUR/USD failed to rebound noticeably and added just 20 pips during trading, by reaching 1.0850 mark.
As anticipated, the Kiwi plunged against the US Dollar. The NZD/USD pair ignored the support cluster at 0.7449 and declined 115 pips overall.
Friday's forecasts came true. The Greenback rallied through all the resistances on its path, until the currency reached a Bollinger band at 1.2626, which stopped the Buck from advancing further.
AUD/USD plunged on the previous business day, although a bit further than first anticipated.
The cross declined for the fourth consecutive day last Friday. EUR/JPY easily pierced through the weekly S2 along with the monthly S1 and the Bollinger band before settling above the weekly S3 at 130.96.
Gold has been negatively affected by optimistic statistics from the US on Friday.
On Friday the USD/JPY pair rallied for the second consecutive day, until it reached the 11-week high at 120.82.
The Sterling has been under downward pressure during previous week, as the it slumped for the fifth day last Friday.
Strong expectations for successful QE from the side of the ECB had a major bearish impact on EUR/USD pair last Friday.
Yesterday the Kiwi bounced back after a two-day rally. The currency went through the weekly PP and the 20-day SMA, before ending the trading day at 0.7476.
On Thursday, the USD/CAD currency pair tested the weekly S1 resistance at 1.2518. The Greenback edged up over the day, but remained in the range between the 20-day SMA and weekly S1, settling at 1.2484.
As anticipated, AUD/USD plunged on Thursday, but was unable to erase Tuesday's gains.