Important levels

By GG Analyst in Reviews 0 Comment

EUR/USD

Passions are rising. Stock markets displayed their inner nervousness, flinging down out of the slack downtrend. At the end of the US session the stock exchanges showed a decrease by about 1.5% from the intraday highs. Investors regained self-possession already during the Asian session, when the quotes stabilized. As has been often the case recently, the currency market behaves in a different way. The bulls tried to swing EURUSD, which was seen in two attempts to grow to 1.36 late on Tuesday and early on Wednesday. The bulls obviously sought to launch a counterattack to take the pair farther away from more…

Every which way

By GG Analyst in Reviews 0 Comment

EUR/USD

It’s not easy to characterize the market reaction when there are neither economic nor news releases. Monday was one of such days. Anyway, there were some things happening under the surface. Risk aversion at the end of trading in the USA provoked falling of stock indices down to the lows since the beginning of September. It is remarkable that the correlation between stock indices and currency markets has completely disappeared. EURUSD is living its own life – yesterday it hit the low of 1.3542, but soon returned to 1.3570 and was trading there for the most part of the day. Those more…

Waiting for the happy end

By GG Analyst in Reviews 0 Comment

EUR/USD

Sometimes in films the most dramatic episodes are shown in slow motion so that we feel all the peripeties and depth of the moment. This time it was the same – sticking to its cinematic principles, the States is inching its way into the catastrophe, showing in detail how characters are trying to save themselves as well as the whole world. Yet, in this case events are real, so a happy end cannot be guaranteed. Besides, after the successful rescue in the dying seconds (many quite reasonably believe that politicians will have come to an agreement right by the deadline) life more…

Dissolving of the government shakes trust in USD

By GG Analyst in Reviews 0 Comment

EUR/USD

If in the first hours and days after the deadline the US dollar didn’t suffer much pressure, now it is obviously getting in the downtrend. It is especially clear against appreciation of the single currency. The thing is that the euro is supported by the fact that the political crisis of the Italian government has been resolved. Berlusconi’s party supported Premier Letta in the vote of confidence, which occurred under pressure of the party and its leader. Besides, Obama himself makes the situation tenser. In the political game against the republicans he reminds that further delay in the budget adoption decreases more…

Politicians won’t come to an agreement soon, employment is in the limelight

By GG Analyst in Reviews 0 Comment

EUR/USD

And though closing of several ministries in the USA didn’t provoke any sharp movement, it still put some psychological impact on the dollar. It had sagged by the beginning of the EU session yesterday, which for a while brought EURUSD closer to 1.3600. It is amazing that for all that stock markets should feel quite good. For the most part of the day they were in the uptrend. As a result, S&P 500 closed the gap, with which it had started the week, and for a while even returned to the levels of the second half of the previous week. It more…