Any increases in interest rates by the Fed this year will be seen as supporting the dollar, as foreign investors will increase demand for the dollar to benefit from higher yields on deposits.
The euro broke a five-day losing streak against the US dollar and rose on Friday despite good data on US inflation.
The currency pair EUR/USD ended the week at 1.1129, raising on Friday with 0.22 percent, and since the beginning of the year the euro has risen nearly 2.5 percent against the green money. Data from the day showed that consumer confidence in the Eurozone declined for the past month.
The euro resumed its downward movement against the dollar on Monday. The single currency depreciated by 83 pips to a closing price of 1.1027. The daily limit values were reached respectively at 1.1123 and 1.1003. Technical outlook in the short term remains negative, but for further decline is needed breakthrough levels at 1.0960.
The single currency lost ground against the dollar for a second day after trading in a relatively narrow range. The daily limit values were reached respectively at 1.1052 and 1.0989, as the euro depreciated by 9 pips to a closing price of 1.1018. Thus, the pair marked a decline of 2.8% over the last eight sessions. Technical outlook remains negative, downward crossing of the moving averages will contribute to the bearish sentiment. Main target downwards remain 1.0960.
The single currency recorded humble decline for a third consecutive session on Tuesday. The pair lost only 6 pips at a closing price of 1.0866. The graphics continue to develop under moving averages, while the index of relative strength remained on neutral territory. If the downward trend continues, we may expect a breakthrough of the support at 1.0810.
The single currency marked a neutral session after choppy trade on Wednesday. The session started at 1.0865 and closed with only 2 pips higher. The graphics continue to develop under moving averages, while the index of relative strength remained on neutral territory. If the downward trend of the last few sessions continue, we can expect a breakthrough of levels at 1.0810.
The euro broke a five-day losing streak against the US dollar and rose on Friday despite good data on US inflation.
The currency pair EUR/USD ended the week at 1.1129, raising on Friday with 0.22 percent, and since the beginning of the year the euro has risen nearly 2.5 percent against the green money. Data from the day showed that consumer confidence in the Eurozone declined for the past month.
The euro registered a second consecutive successful session against the dollar on Friday. The session was extremely volatile, as the difference between the highest and lowest value for the day was 137 pips. The pair came up to the resistance at 1.1066 and if bullish sentiment continue in the future, it will be pierced soon. Trading on Friday started at a price of 1.0956 as at the beginning the trend was neutral. More serious changes were recorded in the afternoon when it was reached the peak for the day at 1.1040. The session closed at 1.1001.
The dollar fell against most major currencies despite strong employment data in non-agricultural sectors of the US. February new jobs are 242 000. The preliminary estimates of economists was for 198 000. The unemployment rate remain unchanged at 4.9%.
From Goldman Sachs believe that monetary-credit policy will again become the dominant factor in determining the exchange rates, rather than risk appetite. Against this background, the analysts retained its annual forecast for EUR/USD of 0.9500.
The single currency registered a volatile session against the dollar on Monday. Ultimately, the euro slightly advanced against the dollar and so the break of resistance at 1.1066 was postponed. If bullish sentiment continue in the future, the key level will be overcome. The new week started at a price of 1.0992 as initially bearish sentiment prevailed. The pair hit bottom for the day at 1.0939 abs session closed at 1.1013.
