The dollar lost ground against most major peers on Thursday, falling from two year peak hit overnight, as U.S. yields paused their march higher after U.S data released earlier in the week showed inflation lower than some analysts had feared.
Even the battered yen had some respite, making a small recovery from a 20-year low hit overnight, though analysts reckoned the yen's tone remained weak.
Otherwise, investors were awaiting a European Central Bank meeting later in the day, to see whether it was as hawkish as some of its global peers, after a spate of rate increases in recent days.
The euro rose 0.2% ahead of the meeting, to $1.0911, and sterling gained 0.1% to a one week high of $1.3141, both extending larger gains made in the previous session. (Reuters).
Yesterday's outside bull day and friendly close signals short term bottoming action. A close over 1.3181 will help boost bull trending and create a bull target to 1.3212. Any dips should hold inside yesterday's outside bull reversal range to maintain bottoming / bull forces. A drop under 1.3030 (SAR) rekindles bear trending.
Resistance 2 1.3181
Resistance 1 1.3139
Support 1 1.3090
Support 2 1.3050