Forex is again trading sideways

By GG Analyst in Reviews 0 Comment

EUR/USD

EURUSD still looks as if it was nailed to 1.3520. Yet, to be more exact, there were attempts to bring the pair above 1.3550, but they proved to be futile. Earlier, when risk demand was directly correlating with the pair’s performance, the increasing geopolitical risks put pressure on the euro until it caused growth of energy prices. However, now the divergence between the currency market and other asset classes looks more and more obvious. The convergence is observed only as far as the influence on the prospects of interest rates is concerned. The euro is not affected by the growth of more…

USD’s futile attempt to trigger stops

By GG Analyst in Reviews 0 Comment

EUR/USD

The story with the Malay plane combined with closeness of the local lows in EURUSD provoked emergency liquidation of long positions. The pair was picked up below 1.35, but before that it managed to gather stops after reaching 1.3490. Bears were very close to the annual lows, set in early February (1.3476), but failed to cross them. Anyway, the week was closed above 1.35 and this morning the single currency was still being purchased.  Now the pair is trading at 1.3540, having come off the dangerous lows, which are able to provoke further decline. There is no important news scheduled for more…

Possible Friday’s correction in USD

By GG Analyst in Reviews 0 Comment

EUR/USD

The Malaysian plane crash over Ukraine put heavy pressure on the stock exchanges. Anyway,in Forex, particularly in EURUSD, the situation didn’t change much. Yesterday the pair was trading within the narrow range between 1.3515 and 1.3540. Earlier today (on the sale of Asian assets) the euro/dollar dropped to 1.3510, but soon it found support at the lows. Quite possibly, today we will again see a correction, which has become almost traditional for Fridays. Moreover, today there aren’t any important macroeconomic statistics scheduled for release either in Europe or in the USA. The market has been farmed out to traders, who can more…

USD’s attack on EUR

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency was depreciating all day long yesterday. The pair managed to stop its decline only close to 1.3520. Now trading is held about 10 pips above this local low. Despite the fact that the considerable part of the decline occurred after Yellen’s speech before the Congress on Tuesday, it is hard to find connection between these events as other currencies don’t show such dynamics. The cable, the Aussie and the yen suffered some losses yesterday and the Loonie didn’t manage to grow. The reason for the pressure put on the euro is seen in the policy easing in the more…

GBP is the only one to resist USD

By GG Analyst in Reviews 0 Comment

EUR/USD

The comments, preceding yesterday’s speech of Yellen, often contained hints at the possible beginning of an uptrend in USD. Actually, Yellen’s speech was of the same mood as the previous comments, that is rather dovish and cautious. Anyway, market participants got what they wanted – the dollar started its ascent. Addressing the Congress yesterday, Yellen drew attention to the persisting high rate of unemployment and the need for the stimulating monetary policy. In our opinion, these words clearly unveil the fear to allow sharp and quick toughening of the monetary policy and repeat the mistake, made by the Fed in the more…