Timid attempts of EUR to go up

By GG Analyst in Reviews 0 Comment

EUR/USD

The US stock market is hitting new highs, albeit not as confidently as before. This craving of investors for the yield affects EURUSD. We can’t say that it will give rise to an ascending trend, but it is quite enough not to allow a drop in the pair. Last night the pair tried to break above 1.29. It failed, but the current position is a figure above Friday’s low. There aren’t any serious moves due to slack trading on Monday (most European countries had holidays) and absence of important macroeconomic news. Today this news vacuum in the euro zone and the more…

USD’s retracing at the beginning of an important week

By GG Analyst in Reviews 0 Comment

EUR/USD

We have again stepped into one of these eventful weeks at the beginning of the month, when all the three news causing highest volatility come one after another. On Wednesday we’ll try to make out from the commentary to the Committee’s meeting if there is any change in the Fed’s rhetoric.  On Thursday all eyes will be riveted on the ECB’s interest rate decision, where a cut to 0.5% is expected. Finally on Friday we will deal with payrolls. The market positioning before these events accounts for most market on the week’s opening. The dollar is losing its ground in Asia, more…

British GDP surprised, will it be the same with the US one?

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday traders took advantage of the dollar’s weakness to sell the euro at a higher price. As we said, optimism in connection with higher certainty about the political situation in Italy proved to be short-lived. The rate cut expected next week is of much greater importance for the markets. But we shouldn’t also forget the factors which may force politicians to take this measure. They are contraction of business and consumer activity and decline of inflation. These factors combined made yesterday’s growth of EURUSD very unsteady. On the way to 1.31 sellers came into play and for a couple of hours more…

Premier being introduced, EUR breathed a sigh of relief

By GG Analyst in Reviews 0 Comment

EUR/USD

The European currencies are not going to yield without a struggle. Last night both the euro and the pound were doing well against the dollar, but for different reasons. Let’s have a closer look at them. At first sight it looks really surprising that amid the growing fuss about the possible rate cut by the ECB next week and also almost right after the release of disappointing statistics on the business activity (PMI, ZEW, Ifo) the euro is able to demonstrate growth. However, it should be taken into account that the rate cut by another quarter of a percent will hardly more…

Sudden demand for risk

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency was purchased against the news yesterday. It means that the initial reaction to the poor ZEW quickly turned into purchases of the euro. As a result, the market is now consolidating between 1.3170-80, while a day ago it was close to 1.3040. Apparently, the market is focused on selling the dollar rather than on buying the euro. Indirectly risk demand was maintained by the recovery of markets after the drop a day before. Speaking about the German indicator of economic sentiment, in April it makes just 36.3 against the expected 41.5. It is a cyclic indicator and such more…