Comment on the situation on a market 20.03.14

EURUSD will continue to decrease

US dollar rapidly increased as US Federal Reserve announced about the further asset buyout program reduction for another $10bl and that already in the beginning of 2015 the increase of refinance rate is expected. What is more, head of Federal Reserve Janet Yellen did not mention anything about the unemployment rate and about monetary policy tightening due to that. At the moment this level equals to 6,5%. Now rate equals to 6,7% which is only 0,2% higher that the threshold level.

EURUSD pair, which has been increasing for the last six weeks, significantly decreased. At the moment it is being traded at 1,3845 and looks like that after the correction it will continue to decrease. 1,3770 is expected to be the next local level and in case of a breakthrough it will open the way to 1,3700-05.

Semen Kamensky​