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EUR/USD broke above the 1.47 resistance level in the early hours of the Asian session. The dollar also loses ground to other currencies, in an unusual move that could provide a hint to what the markets expect from Bernanke.

This is the first session this week in which Australian markets are open – they had another day of rest, in a very long Easter weekend. These hours, with or without a holiday, are usually very quiet.

But tension mounts towards the first ever press conference by Ben Bernanke, and traders on the other side side of the world are happy to sell dollars.

EUR/USD made a move above 1.47, a level last seen in December 2009. Yet another 16 month line was broken. This move still needs to be confirmed, but the direction is clear – up.

Earlier, the pair had trouble with the 1.4650 line, and made only temporary breaks above this level. Levels above are 1.48, 1.5020 and the post-crisis high of 1.5144.

The market completely dismisses the ill Euro-zone, and Merkel’s preparations for a Greek default. For more about the Euro, see the EUR/USD forecast.

And how are Australian traders treating their own currency? Pushing it higher against the dollar as well. AUD/USD is just under 1.08, still not breaking above, but this move is getting close.

Also USD/CHF is at an all time low of 0.8675 at the time of writing, above the 0.8660 cushion. Other currencies are following suit.

Ben Bernanke in the limelight

In less than 24 hours, Ben Bernanke will meet the press in the first ever press conference following the rate decision its accompanying statement. The big questions are if Bernanke expresses concern about inflation, and more importantly: will he declare an end to QE2? There’s a also a middle ground.

The Asian markets don’t see any middle ground at the moment, but rather more dollar printing, more loose policy and an ever weakening dollar. Perhaps even a default in the US, what a growing audience fears. Are they making the right decision? We’ll know very soon what the Chairman’s word is to the world.

More detail in the FOMC Preview.