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Gbp/Usd broke above the 100 hour M/A of 1.6279 earlier in the session on the news of Dubai Worlds partial debt repayment. The pair has since begun a move to the downside, now testing that same 100 hour M/A which is acting as support. The 61.8% Fibo of the move down from Friday is also in play at 1.6280. A break below could see the pair give back considerable gains, possibly down to the 1.6220-25 level. Another failed break should bring pair back up to 1.6320.

After an active Asian session the currency market moved back to the break-even area during early European trading hours, and as the U.S. market approached the major pairs started retracing the ground gained earlier in the session. Most pairs are lacking a clear direction or trend.

The USD is trading lower as equity markets rally in reaction to news that Abu Dhabi will pledge 10bln for Dubai rescue and Citicorp plans to repay its bailout funds, the Abu Dhabi pledge to bail out Dubai will reduce concern about European bank exposure to Dubai debt, Japan’s Tankan…

The greenback extended early gain inspired by the stronger-than-expected U.S. job reports, however, cross-buying in yen due to risk aversion dragged down the USD/JPY and despite rising to 90.78, the retreat from there was deeper than our anticipation, our long position entered at 88.90 was stopped out at 88.45 and…

The U.S. economy continues to show more signs of recovery from the worst financial crisis since the Great Depression, which sent the economy into the worst recession since WWII; however, conditions started to improve noticeably over the past period, as the government continued to support economic activity, which was reflected…

The cross has triggered downside weakness in early trading today after losing momentum AT 134.53 and reversing almost all of its previous week gains on Friday. The current price action has turned downside risk towards the 128.77 level, its Dec 09?09 low with a turn below there targeting the 126.83…

As highlighted in our weekly analysis, USDCAD remains vulnerable to the downside but now trades in a range between the 1.0745 and 1.0401 levels. Although seen building up strength in early trading today, while that occurs below the 1.0867 level, its Nov 01?09 high and its Nov 27?09 high at…

Business sentiment for large enterprises generally came out better than expected for both manufacturers and non-manufactures. As seen in the chart current conditions continued to improve and are expected to improve further in Q1 10, although the pace of the improvement is expected to slow. However, as seen in the…

* Times listed are GMT

After trading in a very narrow range of 0.9100-25 most part of the day, Aussie has broken and trading just below 0.9100. As no significant move on either side was not seen during the day, oru view remains the same on the pair. The 13-Week-MA (currently at 0.9062) is the…