July 2014

The Euro dropped and is trading a session lows following the stronger than expected U.S. GDP which boosted the greenback and buoyed the yield differential between the US and German interest rates. German inflation fell year over year which…

The International Monetary Fund warned that British pound is overvalued by 5-10% and this may hamper efforts to rebalance the British economy, reports the UK Telegraph. According to the IMF, high sterling may hit exporters and take some of…

Primary Scenario: EUR/USD managed to extend its downtrend and is now negotiating below the daily pivot at 1.3418. A sustained trading below this level will put pressure to the market to move lower, targeting the support at 1.3393 and…

GBP/USD is in a bearish trend which was strengthened after breaking below the key 1.7000 level on July 24. The pair is approaching the June 18 low at 1.6926. A break below this would provide further downside towards next support at 1.6849…

EUR/GBP has been in a downward channel since the 2014 high of 0.8399 hit on March 18. The pair maintains its bearish outlook below they key level at 0.8000. Daily technical indicators are in bearish territory although have now turned…

The U.S. dollar remained strong in otherwise quiet Asian trading following a much stronger-than-expected consumer confidence figure for July from the Conference Board the previous day. Consumer confidence crashed expectations by coming in…

Following last Thursday’s US Initial Jobless Claims dropping to an 8-year low, the USD/CAD extended above its symmetrical triangle on the Daily timeframe. The conclusion of the symmetrical triangle encouraged bullish movement in the USD/CAD…

It is difficult to understand how the GBP/USD sharply transitioned from registering a new 5-year high (1.7189) to recording 8 days of successive losses for the first time since May 2010. The pair declined by a further 50 pips and reached a…

Main events to watch on July 30 (Wednesday): EUR: German Preliminary CPI (all day), Spanish Flash CPI & GDP (07:00 GMT) USD: ADP Non-Farm Employment Change (12:15 GMT), Advance GDP (12:30 GMT) and FOMC Statement (18:00 GMT) Full…

Analysts at Morgan Stanley give their reasons to be bearish on euro: - The single currency’s eroding major support levels. - European assets look less attractive to foreigners on a risk-reward basis. - Peripheral yields now being driven…