Euro Falls Against All Major Currencies

Benchmark Indices declined slightly on Friday. Stocks are expected to open with sharp declines on Monday, for EU finance ministers announced that they intend to force bank depositors in Cyprus to pay a tax in order for the country to receive an aid package of 10 billion euros. The Dow Jones declined by 0.17% on Friday and, in response to the turmoil in Cyprus, opened the trading week 100 points lower. Technically, although the Dow Jones is on an uptrend, the recent turmoil could be the catalyst for a strong retracement. The Dow Jones broke below the 14,385 support level; the index is expected to continue declining towards 14,200 as long as it keeps trading below this support level.

Boeing
Boeing shares gained by 2.14% amid excitement over the grounded 767 Dreamliner, which is expected to be back in the air in less than a month. Technically, Boeing shares are trading at 52-week highs and are, according to the daily RSI, at overbought conditions. Should there be a stock selloff at the beginning of Monday’s trading session, we might see a strong retracement that could lead Boeing towards $84.00 a share.

Last: 86.22

Resistance 86.50 87.10 87.75
Support 85.50 84.30 83.90


US Dollar (USD)
The US Dollar started the trading week strong after EU ministers announced the conditions of a Cyprus bailout. Cyprus is making efforts to soften the bailout demands, and a vote on the central measure will be held today. As long as risk aversion remains strong, the US Dollar and the Yen are expected to rise versus the other major currencies.
Gold
Volatility in Gold is rising, with traders encouraged to keep a close eye on 4-hour Bollinger Bands; buying or selling outside of the Bollinger Bands is not recommended. Gold could again jump above the $1,600 resistance level if EU finance ministers uphold their bailout requirements of Greece.
Last: 1596

Resistance 1600 1608 1614
Support 1590 1580 1576


Crude Oil
In response to the turmoil in Cyprus, which triggered fears of another debt crisis, Crude Oil started the week with a sharp decline. According to the 8-hour chart, Oil is resuming its major downtrend after failing to cross above the 50% Fibonacci retracement. Should Oil cross below $92, it could continue towards the $90.50 support level.
Last: 92.12

Resistance 92.50 93.10 93.40
Support 91.90 91.30 90.75


Euro (EUR)
The euro fell versus all major currencies on Sunday night, falling by as much as 1.5% versus the US Dollar in response to the unprecedented turmoil in Cyprus. Credit agency Moody’s announced that the Cyprus bailout could negatively impact Europe. Technically, the EUR/USD is on a clear downtrend, trading at its lowest levels since December, 2012. The pair’s downtrend has accelerated; should the volume remain high, it could reach 1.27 in a week.

Last: 1.2900

Resistance 1.2920 1.2960 1.3010
Support 1.2885 1.2840 1.2780


British Pound (GBP)
The Pound remains stable versus the US Dollar as investors’ risk aversion leads them towards the strengthening Pound. Technically, the GBP/USD is trading near the 38.20% Fibonacci support level, at 1.5075; should it remain above this level, it could reach 1.52. The medium trend for the GBP/USD will remain bullish as long as the pair keeps trading above the 1.50 support level.
Last: 1.5100

Resistance 1.5125 1.5165 1.5200
Support 1.5075 1.5045 1.5010