Daily Market Review - 06/17/2014

EUR/USD

On one hour chart the Euro looks quite ranged. The boundaries of the range serve as resistance and support respectively. It is recommended to wait until the Euro breaks out of one of the lines in order to determine further trend.

USD/JPY

The pair is in decline. Though the power of the trend has decreased. It is possible that we witness consolidation, which suggests resumption of prior trend after its end. There are no triggers of trend reversal seen anyway.

GBP/USD

The Pound managed to overcome 1.7000 yesterday which is quite remarkable and symbolic. Nevertheless it couldn’t stay there for too long. The arch forming below the line suggests the beginning of correction. Apparently the aforementioned level will become a serious challenge.

Market Overview

At the first day of a new trading week the Dollar lost part of its positions against its main counterparts. The EURUSD pair has been trading in the range 1.3512 – 1.3578 for 3 days in a row.

Professionals in the market with big capital need much more time to form positions than regular traders. This factor suggests that in the near future we are going to see a strong downward move of the Euro. As a result trading ended at 1.3567.

The Pound set a fresh maximum on Monday in 5 years at 1.7009 after which there was a technical bounce against the background of closing of losing positions.

The Pound set a fresh maximum on Monday in 5 years at 1.7009 after which there was a technical bounce against the background of closing of losing positions.

After decline during Asian trading session till 101.71, there was a short term demand in the USDJPY pair, what enabled the US currency to recover part of lost positions. Release from the States on industrial production in May was on the median level of forecast, what didn’t cause any strong reaction from the market. As a result the trading day on the pair ended with decline of the rate by 0.2% at 101.82.

Economic Calendar

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