The sunset of the Land of the Rising Sun

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday the single currency tried to demonstrate timid attempts to grow, but already this morning the pair quickly returned to the local lows. Behind yesterday’s purchases there was scarcely anything more than cautious desire to lock in profits after the preceding decline of the euro. For this reason EURUSD managed to reach only 1.3440, besides the daily low was just 15 pips below it. Now trading is held close to 1.3430 and promises to be as sluggish as yesterday due to absence of macroeconomic statistics. The opposite can be expected, perhaps, only if the US Consumer Confidence will be much different more…

The cable is pushed down below 1.7

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday’s EU PMIs stirred pleasant surprise in the markets. Almost all preliminary indexes ( for Germany, France, the eurozone) proved to be in the green area, surpassing all the expectations and preceding values. The Composite PMI for the eurozone in general grew to 54, which is beyond the expected and previous 52.8. These data put considerable influence on the course of trading and changed attitude to the single currency. The pair managed to recover from the unreasonable selling before the beginning of active trading in Europe. Then bears pushed EURUSD down to 1.3437. On the tide of positive EU statistics the more…

EUR is down against USD and GBP

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday bears intensified their pressure on EURUSD, pushing the pair down to the lowest levels since last November. Now trading is held close to 1.3460. Bulls simply didn’t have enough strength to buy out EURUSD at 1.3520, so the strong selling impulse sent the pair down and now the latter doesn’t hurry to rise from there. Softness of the ECB’s monetary policy (the recent rate cuts and preparations for TLTRO) combined with the cyclic slowdown of the economy after quite a decent growth in the first quarter don’t make the single currency the best candidate to grow. Besides, yesterday the USA more…

GBP is the only one to resist USD

By GG Analyst in Reviews 0 Comment

EUR/USD

The comments, preceding yesterday’s speech of Yellen, often contained hints at the possible beginning of an uptrend in USD. Actually, Yellen’s speech was of the same mood as the previous comments, that is rather dovish and cautious. Anyway, market participants got what they wanted – the dollar started its ascent. Addressing the Congress yesterday, Yellen drew attention to the persisting high rate of unemployment and the need for the stimulating monetary policy. In our opinion, these words clearly unveil the fear to allow sharp and quick toughening of the monetary policy and repeat the mistake, made by the Fed in the more…

Profit taking in GBP

By GG Analyst in Reviews 0 Comment

EUR/USD

Monday didn’t abound in important news releases and statistics. Anyway, the single currency managed to slightly grow against the dollar and the pound. At the very beginning of trading in Europe EURUSD rose by 40 pips due to the stronger risk demand, which we highlighted in our yesterday’s review. However, by the end of the day the positive had dispersed. To some extent it was a result of Draghi’s claims in the EU Parliament that purchases of public and private debt fall ‘squarely’ within the ECB’s mandate. Many officials in Germany and other core countries, including members of the ECB, are more…