03, June 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

Investors closed long positions on the U.S. currency. The EUR/USD lost 0.25 % on a daily basis - after a rather sharp decrease in the past three weeks, the market participants start to take profit on short positions. However, this upward trend was merely a technical correction to this and soon we will see the continuation of the "bear" trend.

Closing the short positions on the GBP/USD will support the demand for the British currency. The medium-term trend is directed upwards and consolidation near 67 figure on Thursday May 29 meant a long positions taking from the short-term speculators.

The consumer price index in April in Japan rose to 3.4 % year on year which coincided with the market participants’ expectations. Against this background, the Japanese yen was in demand on the Asian trading session, as the country inflation has reached a twenty years maximum that acts as a deterrent for the regulator to start additional monetary stimulus program. In a moment the pair fell to the mark 101.49, but then we observed the U.S. currency recovery - an increase in the stock markets cheered the "bulls" to open long positions.