Dollar bulls attack key levels

By GG Analyst in Reviews 0 Comment

EUR/USD

Turning back to Monday’s opposition of technical and fundamental signals, we can see that the former is winning (at least now). The US dollar continues the attack. EURUSD again dipped below 1.30 yesterday. Now it is trading at 1.2970, which is close to the lows of early June. The bears showed an impressive performance yesterday near the 200-day MA (1.3070). This was provoked by an article in Reuters, which said that the troika was again displeased with Greece’s progress on the way to budget consolidation and that the country got an ultimatum within three days to agree to the afore-discussed terms more…

Technical vs fundamental analysis

By GG Analyst in Reviews 0 Comment

EUR/USD

The bears keep the market under vigilant control. The attempts of the single currency to recover and get above 1.31 have failed. This level is the start of Friday’s selling, which eventually brought EURUSD to 1.2990. Then, the second fall below the 200-day MA is also of big importance and is likely to increase the camp of bears. Those, who staked for growth, can be happy that the month and quarter were closed above 1.30. Yet, the main fight for the levels and trends for the coming weeks will take place only closer to the end of this trading week. On more…

Bad news from the USA does good to the markets

By GG Analyst in Reviews 0 Comment

EUR/USD

CBs are again playing giveaway. Draghi has repeated that the Bank is ready to help the EU economy before French Assemblée Nationale. He also specified that supporting of the economy by all the measures ,”which the ECB will see proper”, doesn’t contradict the price stability mandate. It’s interesting to see how the approach has changed – before Draghi the ECB refused to do anything that wasn’t in complete agreement with the mandate. In our opinion, the reason for that is in a better situation in Germany, which doesn’t suffer that strong growth which was a couple of years ago, with a more…

The USA is on its own

By GG Analyst in Reviews 0 Comment

EUR/USD

The euro is being gradually sold. At the same time stock markets are not the best benchmark as the main cause of the pressure on the single currency consists in the renewed fears for the sovereign debt crisis. Peripheral bond yields are again on the rise due to the increasing problems in the banking sector, which is under the threat of toughening of capital adequacy rules. Yesterday’s comments of Draghi, who said that the ECB was far from completing the cycle of the soft monetary policy. It was quite a logical statement for the head of the CB of the region more…

GBP’s streak of luck is over

By GG Analyst in Reviews 0 Comment

EUR/USD

Set free, that is outside the narrow trading range, the single currency entered the period of high volatility. At the end of Monday the pair soared to 1.3380, but already by the beginning of the EU session it had returned to the preceding levels. The reason for that was Draghi’s determination to apply non-traditional monetary policy measures, which he expressed at the conference in Israel. The pair plunged to 1.3325, but was supported by the bulls and managed to set new daily highs. It’s an interesting case. The ZEW Economic Sentiment came out slightly above expectations, but the pair was already more…