The mess continues in financial markets. Oil prices reached new minimums, stock markets are still feverish. Yesterday British pound was put under pressure after publication of weak data on industrial production, the range of fall was two figures. Trade currencies renewed annual minimums against the background of decline in oil prices. Herewith dollar bulls are trying to regain control of the situation gradually.
Today news background is limited again. The Eurozone will release the report on industrial production. Taking into account the similar data on Germany, published last week, they are unlikely to bring something positive to euro. Beige Book will be released in the U.S.A. According to last statements of the Fed representatives, the content will be moderately positive. Still, this report will be published late in the evening, and won’t have considerable influence on market dynamics. However, energy prices, stock market and geopolitics are main influencing factors as before.
Another unsuccessful attempt of euro to break through above 1.0900 at yesterday’s European session made us leave long positions. We closed the position without losses. At this moment we have no clear view of the situation. Short-term technical indicators have reversed and point at the probability of testing levels below 1.0800. Still, there is no confidence in formation of stable tendency. We recommend taking a pause in trading.
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