USD
USD consolidated within the tight range recently because the market was waiting for the Friday's employment report. EUR/USD fell to 1.3280, and GBP/USD fell to 1.9620 level. Overall the dollar is still bearish and investors should sell the dollar at the high rather than buying the dollar. According to the CBOT fed fund futures, traders priced in 54% chance for the rate cut next March which fell from 70% and supported the dollar in the short term.

EUR
EUR/USD yesterday fell to 1.3255 and the market concerns about the ECB rate decision today. I believe that the ECB will raise rate again by 0.25% but will not support the Euro much. The market focus will be at the after meeting statement which some reports believed that the Governor will change the hawkish tone on the interest rate and inflation outlook this time and is bearish to the Euro in the short term. Euro cross rates are trading at the recent high but still cannot further breach the resistance which might have a short term correction. Technically, EUR/USD support is at 1.3220 and resistance is at 1.3360.

NZD
RBNZ maintained the Overnight cash rate unchanged at 7.25%. Alan Bollard said that the central bank would still have chance to raise the rate since the rising house price might bring up inflation. However, he also believed that the NZ CPI will moderate to 2.7% this year and 2007. After his speech, the NZD/USD rose from 0.6814 to 0.6870 level. I believe that RBNZ will not raise rate in the coming future since the central bank has already lowered their view on the inflation which will bearish to the Kiwi. Technically, NZD/USD support is at 0.6800 and resistance is at 0.6920.

CAD
CAD weakened yesterday. USD/CAD rose to 1.1486. Yesterday Nov Ivey PMI fell sharply from 59.5 to 52.8 which the market believed that the Canada economy was slowing down. I believe that the CAD interest rate has already hit the peak and next year BoC would be likely to cut the rate which was bearish to the Loonies. EUR/CAD rose to 1.5250, and GBP/CAD rose to 2.2540 which pressured the CAD as well. Technically, USD/CAD support is at 1.1420 and resistance is at 1.1520.