Overbought USD

By GG Analyst in Reviews 0 Comment

EUR/USD

1.2859 is another new low in EURUSD. Since the moment when this low was hit at the beginning of the EU session the pair has been consolidating above 1.2900. Though it is hard to believe in growth of the single currency on some good news from the eurozone, there will be reasons for a pullback in the pair. Now market participants are building the earlier end of the QE programme and/or the earlier beginning of rate increases into the rates. It is obvious from the reaction of the debt and stock markets, but the currency market seems to have already made more…

Nothing will ever stop the dollar

By GG Analyst in Reviews 0 Comment

EUR/USD

EUR keeps waging an attack as if it made up for the unimpressive beginning of the year. Then the dollar was expected to show almost immediate growth, believing that QE tapering was a good reason for the currency’s appreciation. However, as seen, this reason is posed by the prospect of the rate increase. It’s of interest that market participants often ran ahead of time then, expecting earlier toughening of the policy, though already in a few months there was nothing else to do but suppose further incentives. Now the situation seems to have changed radically. According to the Fed’s research, the more…

USD launches a flank attack

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency hit a fresh local low, falling down to 1.3108, but bears were not strong enough to test 1.31. We should say that despite the expected beginning of the ECB’s QE on Thursday, the single currency is depreciating against the dollar much less than its rivals like the pound, yen and the Aussie (read below). Today the main risk for the pair is posed by the Final Services PMI. If this index has been considerably revised in comparison with the preliminary data, it may affect the course of trading. Unfortunately for the euro, now there are plenty of downward more…

A threat to correction against USD

By GG Analyst in Reviews 0 Comment

EUR/USD

Once again the single currency suffered pressure  in the morning. The low set at 1.3118 yesterday during the Asian session held for about a day. At the time of this writing the local low in the pair is 1.3111. The decline is accounted for by the expectations of the QE by the ECB this week. At least, by the expectations that clear parameters, size and the commencement date will be announced. It should be mentioned that these are very feeble expectations. So if they are not met, we may face a serious movement in the opposite direction. Lots of players staked more…

Geopolitics puts pressure on Europe

By GG Analyst in Reviews 0 Comment

EUR/USD

The portfolio rebalancing and demand for the EU currencies were interrupted yesterday by Kiev’s accusations that Russia had active forces in Ukraine and helped the separatists. The UN believes that over 1000 of soldiers can be located on the territory of the neighbouring state. Such accusations imply further aggravation of the conflict. The stocks of the Russian corporations  and the ruble lost about 2 % yesterday afternoon, affecting the EU indices and currencies. Thus, EURUSD went on the defensive off the intraday high of 1.3220 and closed the day at 1.3180. Thursday’s low makes 1.3158 and it is less than 10 more…