26, May 2016

Fundamental analysis

EUR/USD (a 4-hour chart)

On Wednesday the dollar remained at two-month high against other major currencies. Expectations that the US might raise the base rate in June provided a significant support to the dollar.

Greece reached an agreement with its creditors and unlocked a new tranche in the amount of €10 billion. The agreement eased the concerns over a possible new debt crisis in the Eurozone.

Although no important news were published in the country, the pound kept growing. The only topic that drives the pound is the upcoming referendum. According to the latest poll the number of Britons who prefer to remain in the EU grew. The poll results have been supporting the pound for the second day in a roll.

The dollar showed a growth against the yen. Japanese macroeconomic calendar was empty. The pair was under the influence of technical factors. According to Kuroda (Governor of the Bank of Japan) the country economy continued to recover moderately amid the soft policy of the Central Bank.