Tiresome flat trading

By GG Analyst in Reviews 0 Comment

EUR/USD

The single currency finds it difficult to hold above 1.35. Wednesday’s attempts to get back above this level turned into strengthening of pressure on the pair on Thursday. Yet, there wasn’t any utterly disappointing news about the eurozone. The market participants should generally feel the difference between the US and EU statistics. If with the former we are trying to assess how strong the growth is, with the latter we just feel the pulse: if the patient is alive or not. It is also important to feel this difference in the commentaries of officials. Thus, ECB’s Coeure reminded yesterday that the more…

Summers’ refusal boosted USD selling

By GG Analyst in Reviews 0 Comment

EUR/USD

Just like on Thursday, Friday’s trading got nowhere for EURUSD. The pair was drifting between 1.3250 and 1.3320. It happened since everybody already was in anticipation of the Fed’s decision, which will be announced only this week, and since there was no important news, which could push the market beyond the traded levels. Such news came out a bit later, at the weekend. Lawrence Summers withdrew his name as a candidate for Federal Reserve chairman, which let the markets fly up at the weekly opening.  The reason standing behind that is Summers’ advocacy of the stimulus rollback in a much nearer more…

The Fed is ready for the stimulus rollback

By GG Analyst in Reviews 0 Comment

EUR/USD

Those, expecting that the FOMC’s minutes would make things clearer, must have been utterly disappointed yesterday. The minutes didn’t contain any obvious signals of the stimulus rollback in September. The members of the Committee have different views on the future of the Fed’s policy. We should understand that the meeting was held before the release of August’s employment statistics, which have strengthened the beliefs that the economy  needs support less and less.  The improvement in unemployment claims lets market participants hope that the Fed’s members, which have doubted better economic growth, will become more confident about it in mid September. Despite more…

America is spending. Again

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday trading in the currency market was going on under the flag of measured consolidation after recent fluctuations. The dollar index (DXY) has rolled back from the three-year highs, reached on Friday. Anyway, commentators are almost all unanimous in predicting the further dynamics of USD. The continuous stream of favourable news releases each time reminds of the upcoming end of bond purchases by the Fed. In addition to Friday’s data yesterday we got Consumer Credit statistics from the Federal Reserve. It was reported that the consumer debt growth in May made 19.6bln against the expected 12, having become twice as quick more…

The downtrend in EUR is getting clearer

By GG Analyst in Reviews 0 Comment

EUR/USD

The domination of high technology in trading and many risks arising in this connection again came to the surface yesterday, when the false report in Twitter in two minutes washed over 130bln out of the market. Two messages from the hacked account of the Associated Press about an explosion in Washington caused heavy selling in the stock market, which deprived it by about a percent. Yet, soon the situation stabilized. Being important for stock exchanges, this news didn’t produce an equally strong effect on the Forex market. Yesterday the pair was mainly affected by the news on the business activity in more…