08, July 2015

Fundamental analysis

EUR/USD (a 4-hour chart)

The pair euro/dollar started the week with the price gap near the level of 1.0980 amid the negative Greek referendum results, concerning the anti-crisis plan. But after the US ISM service sector publication bulls managed to recover some of the losses. As a result, the tool closed the day with a decrease.

Due to the negative US statistics, the pair pound/dollar was able to fix its growth. However the pair decreased by the end of the day and closed the trades in the “red zone”.

The pair dollar/yen has finished the day with the negative sentiment. Investors escaped from the risky assets, giving preference to the "safe Japanese currency".

The Greeks refused to accept the creditors offer in the referendum, concerning conditions for obtaining new loans. Thus, the Greece exit from the European Union risk has been intensified that put pressure on the European currency. According to the voting results 61% of citizens said "no" in the referendum.

The EU leaders meeting took place on Tuesday in Brussels. The purpose of the meeting was to give an adequate assessment to the referendum results and consider next steps in the negotiations that were stopped after the referendum results. As we know the meeting ended inconclusively, as the Athens has not shown any proposals how to overcome the crisis.