EUR and GBP struggle further, AUD and JPY capitulate.

By GG Analyst in Reviews 0 Comment

EUR/USD

The euro resists dollar’s pressure. The US currency was appreciating against many assets and asset classes yesterday, but the euro managed to win the day. The euro-bulls can hardly celebrate the victory, but anyway we should admit that EURUSD was purchased well at the daily lows (1.3355) and even demonstrated a series of ascending intraday highs and lows. As a result, the bulls managed to bring the pair up to 1.3426. Last night the pair was again pushed below 1.34, which means that the bears still keep control of the situation. On the whole the market has been balancing in a more…

EUR looks exhausted

By GG Analyst in Reviews 0 Comment

EUR/USD

The end of the last week can hardly be called lucky for the euro.  EURUSD slipped down from 1.3575 to 1.3370 on Thursday and continued drifting on Friday, falling as low as 1.3350. Friday’s decline of the euro against the dollar doesn’t look very impressive, but the currency’s weakness in other key crosses is striking. The single currency depreciated much against the pound, the yen and even against the franc. Thus, we get another proof of our opinion that the period of the euro’s strength and growth of EURUSD is over. The currency has rowed up the stream for a while, more…

Draghi is not satisfied with the more expensive euro

By GG Analyst in Reviews 0 Comment

EUR/USD

Mr Draghi met our expectations. Not that he spoke openly about depreciation of the euro or threatened with quantitative easing to weaken the euro, but still he pointed out that the increase in the euro, though reflecting that the eurozone is again trusted, may hamper the recovery. In our opinion, the markets were especially sensitive to the phrase that quick growth of the euro may impair price stability. And this implies that the CB will be ready to act should the euro keep growing. At the moment investors are puzzled which of the CBs is the least tolerant to the high more…

All ears into Draghi’s speech

By GG Analyst in Reviews 0 Comment

EUR/USD

It seems the markets got stuck at one spot again. Earlier it was the channel between 1.3250 and 1.3400, where EURUSD was trading for a couple of weeks. Now the support is at 1.35 and the resistance is marked at 1.36. Yet, Friday’s upsurge on the payrolls was an exception, but we attribute it to nervousness of the markets. This week began with the return to the lower bound of the channel, i.e. to 1.35. On Tuesday the pair retraced and hit 1.36, while on Wednesday it again travelled down to the bottom of the channel. Now trading is held at more…

Back to the January trends

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday the single currency was retracing. More so, it returned to the trends of January. The euro, commodities and stock exchanges were growing, while the yen, sterling and a number of commodity currencies (AUD and CAD) were under a heavy selling pressure. Once again the good performance of the euro was fed by positive news from Europe. The Final Services PMI, released yesterday, was significantly revised up as compared with the initial estimate. The index of activity in the services sector of Germany has grown to 55.7 against 52.0 a month ago and the initial estimate of 55.3. It’s a good more…