All ears into Draghi’s speech

By GG Analyst in Reviews 0 Comment

EUR/USD

It seems the markets got stuck at one spot again. Earlier it was the channel between 1.3250 and 1.3400, where EURUSD was trading for a couple of weeks. Now the support is at 1.35 and the resistance is marked at 1.36. Yet, Friday’s upsurge on the payrolls was an exception, but we attribute it to nervousness of the markets. This week began with the return to the lower bound of the channel, i.e. to 1.35. On Tuesday the pair retraced and hit 1.36, while on Wednesday it again travelled down to the bottom of the channel. Now trading is held at more…

Correction or reversal?

By GG Analyst in Reviews 0 Comment

EUR/USD

Those, who missed volatility and interesting trends in the second half of the previous year, now should be happy about the current state of things in Forex. The single currency rose by 2 figures up to the 15-month high last week and this week for less than 2 days again dipped below 1.34. In January the pair was consolidating below this level for about two weeks, while breaking through the level promised a powerful and continuous rally. The rally proved to be relatively powerful, but not continuous. Back then we already noted that the single currency was appreciating against the dollar 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…