Choppy market

By GG Analyst in Reviews 0 Comment

EUR/USD

We can’t say that trading in Forex is as quiet, to be more exact listless, as about a month ago, however no definite trend has set in yet. The single currency has performed a nice jerk since the start of the week, bouncing off 1.28 and getting to 1.2967 yesterday. Yet, the currency passed exactly the same distance from mid Friday till the beginning of Monday’s session in Asia. Probably, we’ll see another move down to 1.28 soon. EUR/USD looks quite unstable above 1.2950, so at the end of the US session traders started to purchase the US dollar. The leading more…

Buy on the dips

By GG Analyst in Reviews 0 Comment

EUR/USD

Selling in the stock markets and among risk-sensitive currencies continued for most part of the day yesterday. The American indices received some small support only at the beginning of trading in Asia, when speculations  grew on the news about possible incentives from China’s government. Technically the stock markets, following Forex, have returned to the levels which were observed before the QE3 announcement. However, the charts clearly show that the market has to go down as much again to get to the levels where it was before Draghi. Thus, the situation looks as follows: speculators, who have staked on the growth of more…

Euro-bears to attack 1.29 again

By GG Analyst in Reviews 0 Comment

EUR/USD

The euro-bears had enough courage, but no strength to test 1.29. On the disappointing Ifo Business Climate statistics the euro sank down to 1.2895. The Ifo index is considered to be one of the best health indicators for the largest EU economy. In September instead of the expected growth it fell down to 101.4, which is the lowest value since February 2010. It should be mentioned here that the falls of such amplitude (-13.7 points after the peak of 115.1 in February) very often forego the periods of economic contraction. Apparently, in the third quarter Germany won’t be able to show more…

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…