Dollar Stable against Majors Ahead of FOMC Decision

The U.S. dollar was little changed against major currencies ahead of
the Federal Open Market Committee, where expectations signal that the
FOMC will continue to support economic growth, while data from the
housing market provided strong support for confidence, especially in
the stock markets, as the Dow Jones Industrial Average index is
hovering around the 12,000 psychological barrier, while the S&P 500
index is also approaching the 1,300 mark.

The U.S. Dollar index, which measures the performance of the U.S.
dollar against a basket of currencies including the Euro, the Pound,
and the Yen, settled on daily basis to trade at 77.90, compared with
the opening level at 77.86, while recording a high of 78.04 and a low
of 77.75. Gold prices were little changed to reach $1332.40, compared
with the opening level at $1331.49 an ounce, and oil prices rose to
trade at $86.96, compared with the opening level at $86.37.

The Euro slightly declined against the Dollar today, where the EUR-USD
pair is trading at $1.3673, compared with the opening level at
$1.3685, while recording a high of $1.3722 and a low of $1.3644. The
pair is now trading above the $1.3660 level, and so long it remains
above this level, we should expect more upside movement and the target
then will be the $1.3830 resistance level, however, if the pair drops
below $1.3660, the direction on intraday basis will change to the
downside.

The British Pound rose back today against the U.S. Dollar, where the
GBP-USD pair is now trading at $1.5878, compared with the opening
level at $1.5816, while the pair recorded a high of $1.5900 and a low
of $1.5769. The pair is now trading above the important level at
$1.5835 and so long it continues to trade above this level, the next
target is set at $1.5910, however breaching the $1.5835 level to the
downside would send the pair to the $1.5730 support level.

The U.S. Dollar rose against the Japanese Yen, where the USD-JPY pair
is now trading at ¥82.42, compared with the opening level at ¥82.27,
while recording a high of ¥82.47 and a low of ¥81.98. The pair is
now trading above the ¥81.80 support level, which suggests that the
way is open to reach the ¥82.65, but the pair must remain above
¥81.80 in order for this bullish scenario to continue, however,
breaching the ¥81.80 to the downside would send the pair to the
support level at ¥80.80.
Source: Fxstreet.com