Dollar holds slightly lower in European morning trade

The dollar is slightly lower across the board so far today, as the bulls look to be taking a bit of a breather. There’s not much to work with during the session but it just seems like a bit more of a consolidation after the gains from last week mostly. GBP/USD is one of the decent movers, helped by the slightly stronger UK inflation data earlier. The pair is up 0.4% to 1.2470 levels, testing its 100-hour moving average (red line):

But sellers are holding steadfast at the key technical level for now, maintaining near-term control.

Elsewhere, EUR/USD is up 0.2% to 1.0642 with USD/JPY down 0.1% to 154.54 on the day. AUD/USD is up 0.3% to 0.6425 while USD/CAD is down 0.2% to 1.3803 currently.

All the major dollar pairs are pretty much also reflecting a similar predicament to what we’re seeing in cable above. That being price action continues to sit below the respective 100 and 200-hour moving averages. That suggests the near-term bias is still favoured towards the dollar at the moment, with the slight retreat so far today not really amounting to much.

This article was written by Justin Low at www.forexlive.com.