Only EUR held out yesterday

By GG Analyst in Reviews 0 Comment

EUR/USD

ECB Governor Mario Draghi failed to meet the demands of market participants. They were displeased with absence of a clear guideline in the monetary policy easing. Formally, the Bank pointed out that the policy has too many indefinite variables, so the size of future bond purchases can’t be forecasted with great certainty. However, the BOJ, for example, solved the problem in a different way: they set the target (2% of inflation in the medium term) and defined the way (doubling of money supply), also remembering about methods (purchasing plans which can change). Basing on Draghi’s comments, the markets suppose that the more…

Hit the bottom?

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday bulls managed to keep the pair from hitting new lows. It was actively purchased below 1.2590. Earlier today we saw some hints at profit-squeeze in USD, which helped to push the pair to 1.2670. Yet, the movement doesn’t look very steady in expectation of details on the ABS programme. Again it was interesting to see that the news about slower business activity didn’t push the pair to new lows. On the contrary, the latter slides down much easier when there isn’t any obvious reason. Yesterday’s data on the German Manufacturing PMI in September were revised from 50.3 down to 49.9 more…

Attempts to put pressure on USD

By GG Analyst in Reviews 0 Comment

EUR/USD

The euro had managed to recover by the end of the day and close Monday positive. During the day EURUSD went as high as 1.2714, but closer to its end the pair was pushed below 1.2700. The data on the US consumer spending surpassed expectations, showing that personal spending grew by 0.5% after going down by 0.1% a month before. The data went beyond expectations and indicated revival of demand, which can urge the Fed to initiate tightening, or in other words normalization of the monetary policy. Besides, the consumer and business confidence of the eurozone keep sliding down. Against such more…

Unannounced intervention of RBNZ

By GG Analyst in Reviews 0 Comment

EUR/USD

The end of the previous week and the beginning of this eventful week passed under the banner of USD’s growth against EUR. Against our expectations of rebalancing, the pair hit fresh multi-year lows. Now trading is held near 1.2675, which hasn’t been seen since November 2012. However, taking into account that then the low of 1.2662 didn’t exist for long, the current levels can be confidently called the lowest ones since September 2012. This week the major risk for the pair is posed by the ECB’s regular meeting and the following press-conference and also by the US employment statistics for September. more…

USD may depreciate on poor GDP data

By GG Analyst in Reviews 0 Comment

EUR/USD

Hardly had we written about the threat to the local lows in the pair yesterday when the pair was pushed below 1.27. The major part of this decline took place against liquidation of stops after hitting the previous lows. Formally, this selling occurred when Draghi repeated that the ECB was ready to continue its unconventional policy to avoid inflation risks. The pair came to its senses only at 1.27. Here it got support and now makes new attempts to consolidate. There are no reasons for growth as the eurozone keeps releasing poor news while the US labour market, according to weekly more…