20, May 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

The major pairs completed the trading in narrow ranges. The EUR/USD despite the "bull" predominance consolidated near the 37 figure. The USA macroeconomic statistics showed a mixed trend. Housing market indicators - the issued building permits volume and the Housing Starts number came out better than the median forecast which is positive for many American economy sectors. At the same time, the report from the Michigan's Institute on the May consumer confidence index disappointed investors for a total value amounted to 81.8 instead of consensus-forecast 84.1.

The demand for the GBP/USD was noted due to the lower euro/pound cross-course. The current levels look attractive for the long positions formation and we can expect some activity from speculators. After the Michigan Institute consumer confidence weak report the pressure on the greenback was strengthened.

The USD/JPY traded in a narrow flat throughout the day. The moderate demand in global stock markets could not cheer the "bulls" to open long positions. The published macroeconomic indicators from the United States also did not contribute to the U.S. dollar demand against the Japanese yen. The consumer confidence index decrease from the Michigan Institute indicates a possible personal consumption decrease in May which is negative for economic growth rates.