Daily Technical & Fundamental Analysis of the EUR/USD :13.07.2011

Dear Trader
Concerns about Europe's debt challenges took center stage again Tuesday, when Moody's Investors Service on Tuesday cut Ireland's foreign- and local-currency government bond ratings to speculative or "junk" grade.
The euro stabilized around $1.40, after touching a four-month low around $1.3838. However, the euro is poised to remain vulnerable and remain under downward pressure until we get some clarity about the debt crisis, and the stress test results for 91 of the region's top lenders will be published by the European Banking Authority on Friday.
Dollar bulls are also wary ahead of Fed Chairman Ben Bernanke's semi-annual testimony on the economy and monetary policy before the House Financial Services Committee starting at 1400 GMT. Also, The U.S. dollar has problems of its own, not least the political impasse on lifting the government's debt ceiling, which could result in default if not resolved.

MBCFX Forex & CFDs Brokerage Firm