Merkel has won, stern workaday life begins

By GG Analyst in Reviews 0 Comment

EUR/USD

Merkel’s party has won the highest number of votes since the day of Germany’s reunification, but it doesn’t really mean that the Christian Democrats won’t have to form a coalition. 42% of the votes secure 296 out of 598 seats at Bundestag. It implies that Germans generally like austerity and the prosperity that the country, which went out of recession long ago, has reached. The hopes that the tough austerity stance would be shaken by the social-democratic party with its left-wing views, haven’t been realized. Now Greece, Portugal and Ireland may start fearing that such support of Merkel will entail requirement more…

Get ready to troubles in the eurozone

By GG Analyst in Reviews 0 Comment

EUR/USD

A day after the Fed had announced about its idleness the markets corrected just a little bit. For example, EURUSD didn’t even go below 1.35. Taking into account that a week ago it was below 1.33 and two weeks ago – around 1.31, it is quite a considerable progress. From the viewpoint of technical analysis, purchases became more intense after the pair had managed to consolidate above the 200-day MA on one of trading days of September. It means that coming back from the summer holidays “big money” saw a bullish picture in the pair. On the fundamental side the reason more…

Irresolute Bernanke and falling dollar

By GG Analyst in Reviews 0 Comment

EUR/USD

Are you surprised? If you a regular reader of our reviews, then scarcely. At the September meeting of the FOMC it was decided to change nothing in the policy of the Fed. The US dollar fell against the single currency by more than two figures. Partly it happened due to the local highs being close (1.34) – breaking through them gave rise to the across-the-board selling of USD. As a result, the movement stopped only at 1.3520, where the pair keeps consolidating now. Besides the traditional list of estimates of economic indicators the commentary to the decision also mentions that the more…

Keep calm and carry on

By GG Analyst in Reviews 0 Comment

EUR/USD

The pair is drifting within a very narrow channel, still leaving the gap of the beginning of the week unclosed. Yesterday during the Asian session it fell down to 1.3324, which is the lowest point of the week for now. Anyway, the pair managed to move off these lows and returned to the middle of the trading range – closer to 1.3350. It’s clearly seen that the market activity is dying down. More so, players for some reason don’t pay attention to economic statistics. Thus, yesterday’s economic sentiment for Germany and the eurozone proved to be better than forecasted – growth more…

USD is striving to offset yesterday’s losses

By GG Analyst in Reviews 0 Comment

EUR/USD

Yesterday’s session, which didn’t abound in macroeconomic news releases, let the pair remain close to the weekly open for the most part of the day. Only during the hot US session players have expressed their desire to correct the growth. And before that the pair had hit the high at 1.3385. The news coming from the USA still prove to be slightly worse than expected. For example, yesterday it became known that industrial production had grown by 0.4% in August, which is worse than the expected 0.5%. The annual rate makes 2.7%, which is much weaker than 4% at early 2012 more…