Turn for the better

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency got a strong impulse for growth after the lull on Monday. Formally, it happened after the publication of the BOJ’s decision. Actually, it was just a reason for traders to join the game since earlier they preferred to abstain from trading in anticipation of the major event. Moreover, the purchases of the euro were boosted by the positive news from the region. Dutch Finance Minister Dijsselbloem was elected the new head of the Eurogroup. Besides, it also became known that in March the Eurogroup will consider a bailout of Cyprus. Cyprus is not a big country, but the more…

Correction being over, the market’s moving on

By GG Analyst in Reviews 0 Comment

EUR/USD

The market didn’t disappoint our expectations – some instruments stopped retracing. The stock exchanges were hitting their 5yr highs, EURUSD again threatens to break above 1.34. Now trading is held just a step away from these levels. As two weeks ago it was caused by rumours about quite a good demand at the Spanish auctions. In a couple of hours the information proved to be true, which further spurred the growth. However, we insist that it is just a cause, the real reason is different. Traders finished the phase of consolidation after the preceding big rally, reshuffled their positions and got more…

A battle for technical levels

By GG Analyst in Reviews 0 Comment

EUR/USD

Demand for safe havens is still very strong in the markets. By now the single currency has fallen down to 1.3280. Last Thursday it was hovering around this level before Draghi’s press-conference. Moreover, this area served as a strong resistance in the last three weeks of the previous year. Thus, today we are to see an interesting skirmish between the bulls and bears. In case the bulls win the battle the former resistance will turn into a support, from where the currency will continue to grow. So now we only have to wait. Yesterday’s statistics didn’t have any significant influence on more…

Europe’s awakening

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday’s fluctuations were really impressive. Excluding the yen with the political nature of its rally, the market was squeezed in narrow daily ranges for a long time. It seemed that already nothing could rock that boat. But yesterday the good auction results in Spain were enough to stir up the market. Draghi’s concentration on the economic indicators instead of the financial sector also made its contribution. Now for details. The yield of Spanish 5yr bonds fell down below 4% yesterday in comparison with the peak of 6.46% in July. The bid-to-cover ratio was also at a quite favourable level of 2.07. more…

Europe is weak

By GG Analyst in Reviews 0 Comment

EUR/USD

The beginning of the accounting period seems to be quite reassuring. US aluminium giant Alcoa has posted a better-than-expected profit and expressed moderate optimism that demand will continue to grow in 2013. It has gradually moved the stock market from the middle of the trading range to its upper bound. Turning to Forex, here EU currencies are trailing much behind their counterparts. Yesterday EUR again failed to consolidate above 1.31. The pair had been pushed down before it even got above the mark. Apparently, the euro is being pressurized. It is rumoured that the reason is asset sales by sovereign wealth more…