04, April 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

The U.S. dollar strengthened versus its major competitors the other day. The EUR/USD remained under pressure. The "Bears" opened short positions based on the ECB President Mario Draghi’s negative tone on Thursday, April 3, as well as positive data on U.S. employment from the agency ADP. Despite the gloomy outlook for the U.S. labor market from Fed chief Janet Yellen - an independent agency ADP indicates strong enough manpower loading in March and the market received the first signal of a possible strong Non-Farm report.

GBP/USD "Bulls" and "Bears" failed to reveal a confident winner. The construction sector PMI disappointed investors, showing a decline for the second month in a row, despite the mortgage lending volume increase in February and rising consumer confidence which traditionally sets the vector in the construction market. A few negative reports and we can talk about the peak in the recovery phase of the British economy in the medium term will be the negative factor for the "cable" growth.

USD/JPY has consolidated near a strong resistance level. Investors remain optimistic about the pair’s future expecting a further weakening of the Japanese yen.