Suspension of USD’s rally

By GG Analyst in Reviews 0 Comment

EUR/USD

The employment statistics proved to less favourable than expected. The labour market created 209K of jobs instead of the expected 230. The private sector employment increased by 198K against the forecasted growth by 225K. The average earnings haven’t grown against the previous month, which anyway hasn’t posed an obstacle for growth of the annual rate from 1.9% to 2.0%. But still it is worse than the supposed acceleration to 2.2%. It seems that employers don’t hurry to raise earnings despite the impressive increase in the number of jobs. Possibly, the reason is that there is a huge number of potential workers, more…

Caution before payrolls

By GG Analyst in Reviews 0 Comment

EUR/USD

It’s an important day for the markets today as they are expecting a release of the US employment statistics for July. Some commentators have even called this report to be the most important in the year. It’s too much, of course, but eloquently speaks about what agitation today’s data are arousing. In the second quarter they were very reassuring, surpassing the expectations, but that was preceded by the horrible statistics at the beginning of the year. The economy generally repeated that trend, as is obvious from the GDP rates, which proved to be the worst among the non-recession periods. Anyway, Wednesday’s more…

Fundamental strength of USD

By GG Analyst in Reviews 0 Comment

EUR/USD

The US dollar keeps recouping its losses. It is remarkable that it is growing not only against the euro, but across the whole board. We can even say that the single currency looked steadier than many others yesterday. Thus, EURUSD hit 1.3400 this morning. And this is the lowest levels since last November. Actually, we can already speak about the beginning of a rally in USD. And behind it there are perfect macroeconomic statistics. Yet, it is still disputable if the Fed’s policy will lag behind these data. In addition to the news which feeds USD’s strength, yesterday there was a more…

USD bulls in search for stops

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency is helplessly crawling along the bottom of this week’s range. Yet it is remarkable that the attempts to send the pair down don’t stir due interest among buyers. This morning, for example, for no particular reason and even before the release of PMI stats EURUSD was pushed down to 1.3437, that is 20 pips below the daily open. Supposing that technically the pair will target at the support level near the preceding local low, we can expect a reversal only near 1.3290. It means that bears have a figure and a half in store. However, we can hardly more…

EUR is down against USD and GBP

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday bears intensified their pressure on EURUSD, pushing the pair down to the lowest levels since last November. Now trading is held close to 1.3460. Bulls simply didn’t have enough strength to buy out EURUSD at 1.3520, so the strong selling impulse sent the pair down and now the latter doesn’t hurry to rise from there. Softness of the ECB’s monetary policy (the recent rate cuts and preparations for TLTRO) combined with the cyclic slowdown of the economy after quite a decent growth in the first quarter don’t make the single currency the best candidate to grow. Besides, yesterday the USA more…