USD did not yet reach the destination point!
As quick as the Euro growth rate has been, it did go down quite fast as well. Economy and monetary policy of the Eurozone are not doing so well no matter what market may think about the USD and interest rates in the USA. Yes, it may be so that interest rate won’t be raised during this year, but it doesn’t mean that we have to start radically thinking of QE4. American inflation is only a matter of time. The market forgot about the fact that European monetary policy is much softer than that of the United States. Yet, sometimes this fact is popping up.
We believe in good and longstanding growth of the euro granted normalization of the monetary policy of the ECB. We are also anticipating that speculations about possible raise of the interest rates will begin rather than these rates will really raise up, and that they will be based on the macroeconomical data as it was recently happening to the dollar.
EUR/USD
As for the euro, we can observe interesting sale from the broken uptrend, which lies in three points:
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Sell Limit 1.1240, Stop Loss 1.1300, Take Profit 1.1110.
NZD/USD
Sale is the most interesting for kiwi and it is also starting up from the broken uptrend similar to the one of euro. But in this case, the line is “laying” in the four points. The latter outlines its importance:
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Sell Limit 0.6350, Stop Loss 0.6400, Take Profit 0.6250.
USD/RUB
Russian currency continues to tighten up into a spring after which it can start strong movement either towards north or south. Although according to our scenario, we see that the currency pair USD/RUB prefers to move down up to the level of 60.00:
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Source : Tickmill Market Commentary