The bearish market for Oil

By GG Analyst in Reviews 0 Comment

EUR/USD

The pressure on the dollar failed to last for all day long yesterday. EURUSD was reversed near 1.2800 and pushed off to 1.2665 during the New-York session. This decline made up for almost all losses suffered on the release of FOMC’s minutes. Now the pair is close to the support level of the short-term trend. If in the coming hours bears become more active and manage to push the pair below yesterday’s lows, the dollar will be strong enough to resume its rally and continue growing in accordance with the fundamental indicators. However, should the upward movement continue, we will probably more…

FOMC fears growth of USD

By GG Analyst in Reviews 0 Comment

EUR/USD

The Fed’s minutes showed that FOMC is in a more peaceful mood than expected. As seen from the comments, published yesterday closer to the end of the US session, the Committee feared that changes in the comments would be taken in the wrong way by the market. As you remember, in September many expected that FOMC wouldn’t mention that the rates would stay low for ‘a considerable time’ any more. The forecasts contain fears that the slowdown of the global growth can affect the closeness of the US monetary policy tightening as slower growth results in the increased demand for the more…

A quiet day for USD

By GG Analyst in Reviews 0 Comment

EUR/USD

USD gave all Friday’s gains back to the single currency. Against other currencies it felt a bit more confident, staying positive. The main reason for that, in our opinion, is strong positioning for growth of the US currency. The rows of its buyers are too dense, so simply there can be no more volunteers to buy again. This very lack of heavy buyers serves as driving force for the currencies, otherwise the movement would be opposite. We mentioned it before and expected that it would happen on the ECB’s rate decision or on the employment statistics. However, it didn’t happen and 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…

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…