Tapering may start already before the year end

By GG Analyst in Reviews 0 Comment

EUR/USD

Well, after all Obama has nominated Janet Yellen to head Federal Reserve. This news is not surprising as already for several weeks Yellen has been considered to be the most probable candidate for the post. The markets’ attention was riveted on a different event – the publication of FOMC’s September meeting minutes. As you remember, then the size of the bond-buying programme was kept unchanged despite the warnings about readiness for gradual stimulus rollback. The minutes point out that the Committee sees the need for this measure already before the end of the year. So, it’s all small wonder. Bernanke’s caution more…

Every which way

By GG Analyst in Reviews 0 Comment

EUR/USD

It’s not easy to characterize the market reaction when there are neither economic nor news releases. Monday was one of such days. Anyway, there were some things happening under the surface. Risk aversion at the end of trading in the USA provoked falling of stock indices down to the lows since the beginning of September. It is remarkable that the correlation between stock indices and currency markets has completely disappeared. EURUSD is living its own life – yesterday it hit the low of 1.3542, but soon returned to 1.3570 and was trading there for the most part of the day. Those more…

Bears will try to break below 1.35

By GG Analyst in Reviews 0 Comment

EUR/USD

Players are gradually taking their profits after selling of USD. As we know, the market can go against fundamental factors for a while if technical analysis presupposes such a movement. Something like that was observed yesterday in the euro/dollar. The Prelim PMI for the eurozone was not bad. Despite the disappointment with slower growth of Germany’s manufacture, where the index has fallen from 51.8 down to 51.3, the services sector has surged, demonstrating the highest activity since last February. And it’s been only the third month for the last 2 years, when Germany’s services sector improved so much. So, the news more…

Get ready to troubles in the eurozone

By GG Analyst in Reviews 0 Comment

EUR/USD

A day after the Fed had announced about its idleness the markets corrected just a little bit. For example, EURUSD didn’t even go below 1.35. Taking into account that a week ago it was below 1.33 and two weeks ago – around 1.31, it is quite a considerable progress. From the viewpoint of technical analysis, purchases became more intense after the pair had managed to consolidate above the 200-day MA on one of trading days of September. It means that coming back from the summer holidays “big money” saw a bullish picture in the pair. On the fundamental side the reason more…

Quiet last trading day of summer

By GG Analyst in Reviews 0 Comment

EUR/USD

Passions around Syria have somewhat subsided. No, we don’t say that intrusion is no longer planned, but Americans have slowed down a bit and the British parliament has voted against this intrusion. Americans will need time and sound arguments to justify their solitary intrusion into Syria. Stock exchanges returned to cautious buying, but it failed to support the single currency. Yesterday EURUSD fell down to 1.3218. As expected, breaking through 1.33 intensified selling of the currency, throwing the pair back  right to the two-week lows. However, now it is not absolutely certain that this downward move will continue. The pair has more…