The attack of bulls being repulsed, consolidation resumes

By GG Analyst in Reviews 0 Comment

EUR/USD

Friday’s trading was relatively volatile and didn’t have any particular direction. For no special reason, there were upward spikes, then followed by consecutive sell-offs which drove the pair back to the initial levels. This performance is typical of portfolio rebalancing. It’s remarkable that by the end of the trading day the single currency had returned to the opening levels of the day. Besides, despite the sharp fluctuations of 90 pips in an hour, the pair didn’t manage to go beyond the high/low limits of the previous day. The beginning of trading in Asia was rather cautious, which put a certain pressure more…

Consolidation over, get ready for a true rally

By GG Analyst in Reviews 0 Comment

EUR/USD

Selling of the single currency stopped as suddenly as it started. The bears failed to push EUR/USD below 1.29. This is exactly the level from where the pair started a rally after the announcement of QE3. Yesterday the single currency enjoyed a good buying interest at 1.2920, and this means that large players were defending their long positions, opened after the QE3 announcement on September 13. Exactly yesterday we mentioned that such performance had already been observed in history. Usually, the first wave of the speculative rally quickly reverses and drives the markets to that very place where they started growing. more…

Markets take a respite?

By GG Analyst in Reviews 0 Comment

EUR/USD

The euro/dollar formed a double top when trying to break through 1.3170 for the second time in the last two trading days. Is it the start of a reversal? Well, probably, but most likely it’s just profit-taking after the significant growth. From the lows of July the single currency has risen against the dollar by 11 big figures. Moreover, the move from 1.26 to 1.31 has happened just within six trading days. Of course, after such a rally the market needs to come round. The caution in relation to the further demand for risk comes as a result of the active more…

Looking through the glass or September against May

By GG Analyst in Reviews 0 Comment

EUR/USD

Over just one day the single currency crossed 1.30 and made a fresh advance to 1.31.  Now trading is at 1.3120, and the daily high of Friday was around 1.3170. Looking at the current rates, it’s hard to believe that only 2 weeks ago bulls and bears were fighting for 1.25. The double whammy, from Draghi and Bernanke, made the dollar retreat on all fronts. It’s remarkable that this should happen against the ongoing issues in the peripheral part of Euro Zone. The troika is going to release its report on the Greek affairs only in October, thus deferring the verdict more…

Autumn seems to sneak in a bit earlier

By GG Analyst in Reviews 0 Comment

EUR/USD

In one of our reviews last week we said that the markets could grow till the beginning of autumn. Yet now there is a feeling that autumn is right on the threshold. The optimism of stock market players, which has been growing after the recent release of FOMC’s minutes, reached its zenith yesterday. It’s surprising that the markets supposed to deal with a chain of favourable economic reports and didn’t take into account that the Fed could revise its plans for easing the policy in September. Beige Book published yesterday once again proved that things are getting better in the USA. more…