Dollar is looking for the bottom



American dollar continues to pull back and now this looks like capitulation. Its decrease identified against most assets, while USD index lost around 1.2% for more than last 24 hours, reaching the main support levels. The bulls may upset by the fact that coming news is not making favor for American currency. Advance GDP, released yesterday, was worse than expected. The first three months got 0.5% yoy against expectations 0.7% yoy. This is hardly visible 0.1% in usual for us estimation. Contrary to this growth of European economy reached 0.6% as released by Eurostat today. Though, the expected growth was only more…

Dollar returned to an important support



Fed Reserve comment on monetary policy has evoked volatility splash but eventually did not bring any significant shifts in a trend since the pair continued its smooth growth along the trend from the beginning of the week. As a whole the comment could support American currency since it excluded any concerns about global finances, but was mentioned that income growth would support inflation and bring it closer to its target in a medium-term. Moreover, Fed Reserve mentioned acceleration of real income that, combined with the effect of deflation, will boost eventually inflationary trend. In our opinion, the enclosed announcement contained enough more…

Aussie retreated before dollar



The pair continues to grow but its pace looks more like creeping. Yesterday the pair managed to accelerate and reached 1.1340 but it returned to its main trend by the end of the day, having dropped below 1.13. Now again the trades are going on above that line, while investors are not in a rush to extremely stress statistics from Europe before FOMC comments on monetary policy. But here they should pay attention to more than expected indicators from Germany. Import prices increased at once by 0.7% being the first exceed during 11 months. This did not save annual decline that more…

Sterling is eager to go higher



EURUSD pair yesterday was slowly moving higher though its dynamics was weaker that on such risk sensitive pairs as GBPUSD. Although today the common currency, probably, decided to accelerate adding around 40 points during last 1.5 hours and reaching 1.13 level. In a downtrend channel there is still enough place for a growth and without news from Europe the bulls can increase easily their attack pushing Euro higher the round mark. Important news will be released only by the beginning of trades in the USA. Durable Goods Orders will be released, and a bit later – CB Consumer Confidence. Durable goods more…

Euro, yen and aussie are falling



On Friday common currency was under pressure increasing its downtrend that was formed at the end of Thursday trading. Important is the fact that such decline was not caused only by USD growth, as well we could monitor GBPUSD growth. The pressure in UERUSD pair cannot be explained either by positive mood of stock markets since most world markets, except of Japanese market positive tendency, were in a red zone. By the end of the trading day the pair declined to lowest level since the end of March 1.1210, having renewed April lows to 1.1233. Today bulls are trying to form more…