Big Gaps In The Asian Session | ForexGen

Overall, the currency market opened with huge gaps from the weekend trading. The plan to take over the two GSEs, Freddie and Fannie, put the dollar on the run, and the treasury will have to print some new debt to support the take over, which in turn will devalue the greenback's strength. The dollar index fell 44 points, to 78.50, during the weekend trading hours.

The Euro (Eur/Usd) saw, at the beginning of the new Asian session, a 100-pip gap made during the weekend trading hours. The euro moved somewhat flat, but as the Asian session progressed, the pair looked more eager to break to the upside and make a new high for the current session.



The Pound (Gbp/Usd) had the biggest gap at the opening of the new trading session, a whopping 200 pips. During the first minutes since in the Asian session, the pair added gained another 55 pips, but soon the move retraced lower. The gap helped the pound rise to 4 day high.



The Aussie (Aud/Usd) had a 170 pips gap at the open of the Asian session, just under TheLFB R2. The pair continued to trade in a 70-pip range, moving between the first and the second resistance level all the Asian session. The upward gap also helped the pair break above a 4h chart resistance that was holding the pair for a few days.