20, February 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

The EU budget

The President of the European Council Herman Van Rompuy appeared before the European Parliament on Monday with the agreement of the EU budget for 2014-2020 959 billion euros. Meanwhile, the president of the European Parliament, Martin Schulz, said that the budget was not focused on the common interests of Europe. Schultz said that the budget is committed to the needs of 27 member states, and not to the general interest of Europe as a whole.

That's why he thinks that the European Parliament will act in a responsible manner in order to ensure that the interests of Europe at the first place.

Alternative scenario for the pair:

The upside breakout level of 1.3380 will open the way to 1.3415 and 1.3440.
Until the asset breaks above its resistance level 1.3380, a high probability of falling below 1.3305 remains.

The pair is likely to remain in the middle of its current range in the nearest future, given the low-key trade and the lack of new data. Today, the possibility of trade in the range of 1.3300 - 1.3400. Pair was in this range the last three days, and we do not expect that it will strike any of its borders. At the moment we are in the middle. In the short term we do not expect anything out of the ordinary till the end of the week.