04, June 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

The U.S. dollar briskly started the first summer month. The EUR/USD lost 0.25% against the negative macroeconomic statistics. The preliminary CPI in Germany showed the inflationary pressure compression to the level 0.9 % year on year, the lowest level since July 2010. This report indicates that the Germans are under the negativity wave from the structural problems in the Eurozone now.

The States also well pleased the dollar "bulls"– the ISM manufacturing index in May was better than the median forecasts, has been showing the growth the 4th consecutive month.

The weak PMI report from Markit Economics for the UK manufacturing sector provoked short positions in the pair GBP/USD. This release confirms the fact that the British currency excessive growth is negative for the economy manufacturing sector. In a moment the GBP/USD price fell to 1.6724 mark, and then we watched a technical bounce, signaling the demand for sterling in figure 67.

The strong growth in the Japanese stock market on Monday cheered the "bulls" to open long positions. The 102.13 resistance level could not resist and we saw the maximum values update for the last 4 weeks.

Macroeconomic statistics from the United States also supported the demand for the U.S. dollar against the Yen - the ISM manufacturing sector was at 56, which is 0.3 better than the forecast surveyed by Bloomberg.