Dollar bulls are fixing profits

By GG Analyst in Reviews 0 Comment

Bulls vs Bears

EURUSD

Low liquidity before the New Year holidays allowed euro bulls at some point to push EURUSD above 1.0650. The year closed above 1.05. However, the start of trading in the new year was marked by restoring of dollar positions, and the pair renewed 14-year highs. Meanwhile, the pair traded again above 1.0550. They cannot highlight any impulse for such dollar weakening. This is only the profit fixing by big players after two months rally of the American currency. Moreover, during this time stock markets were growing, hence, they had either the reasons for profit fixing before the important events on the more…

Pre-holiday hustle on Forex

By GG Analyst in Reviews 0 Comment

Hollidays

EURUSD

Last week was promising to be quite calm. Finally, this happened but at the beginning of the week, Euro renewed 13-year lows against dollar, having touched 1.0351. However, bears did not have enough power later on to accelerate the attack, and EURUSD returned to 1.0450 mark where it started the next-to-last week of the year. In the beginning, the main driver was a positive attitude for risks demand, but the cautiousness of players prevailed by the end of the week which encouraged growth of the common currency. At some point, bulls even tried to push the pair up to 1.0500 but more…

Key mark for Euro passed

By GG Analyst in Reviews 0 Comment

Europe

EURUSD

The important support for EURUSD at 1.05 was broken this week. This happened due to more optimistic than expected forecasts for economy and further course of interest rate’s hike. In September, markets and the Fed Reserve had something we may call consensus for expectations of two hikes in 2017, but in December more hawks appeared, and eventually they await for three hikes. This goes along with Trump’s promises to boost economy growth by means of taxes and public expenses. Since the real divergence between monetary policies of ECB and the Federal Reserve became a driver of EURUSD drop below 1.05, the more…

ECB has managed to reverse Euro downwards

By GG Analyst in Reviews 0 Comment

Euro

EURUSD

Last week opening was bad for EURUSD. Prime Minister of Italy has lost the referendum with a big gap. This resulted in pair’s fall to 1.05 level, but bulls managed to the keep the attack: EURUSD closed the day around 1.0760, with the intraday range around three patterns. Further, the pair was developing correction bounce during a week. Eventually, by ECB rate decision on Thursday, EURUSD had already two attempts to climb above 1.08. The same as a year ago, markets were waiting for details about further development from December ECB meeting. They did not have instant changes, but the markets more…

Dollar won back its part, Euro’s turn now

By GG Analyst in Reviews 0 Comment

EURUSD

Dollar was defending itself last week. Growth impulse after Trump’s rally was losing its power. The potential for dollar growth on the higher chances for the rate raising by the Fed Reserve won back (they are sure 100% about December rate increase) even with the gap, since they include 50% chances for two more raising in 2017. Meanwhile, stock markets continued to grow on the expectations of public spending increase, and did not consider the policy tightening as a threat for upwards movement. On Thursday and Friday the market gave a formal reason for dollar selling, which used dollar bears quite more…