21.09.2015 - The price of the dollar stabilized

Currency trading and the euro. The price of euro stabilized after strong volatility in the last week. Thus, quotes rose sharply after the Fed's decision not to change interest rates, as then the price returned to the previous levels. Medium-term prospects for the euro remains negative due to the program of quantitative easing in the Eurozone, steady growth of the US economy and expectation of the Fed to tighten monetary policy. Today, little effect on the course of trading will have news on home sales on the secondary market in the US (14:00 GMT) and monthly report of the Central Bank of Germany (10:00 GMT). The negative outlook for the euro remains unchanged.

Currency trading and the British pound. The price of the British pound fell on Friday, after strong growth caused by the positive statistics on the labor market in the UK and the weakening of the US dollar. Today was published statistics on the index of housing prices in the UK, which grew by 0.9% in September, against a decline of 0.8% in the previous period. At the moment, we see no reason to continue the growth of the price of the British pound and expect a drop in prices in the near future. Our medium-term outlook also remains negative.

Currency trading and the Japanese yen. The price of the Japanese yen today, shows low volatility after strong price movements at the end of last week, which were caused by the Fed's decision on interest rates. It is worth noting that till Wednesday in Japan will be the days off and the dynamics of prices will depend on the data from the US. Our medium-term negative outlook for the yen remains unchanged.

Currency trading and the Australian dollar. The price of the Australian dollar continued to decline within the local uptrend. The recent strengthening of the Australian currency was caused by technical factors and the weakening of the US dollar after the decision of the American regulator not to raise interest rates. It is worth noting that the weak data in Australia increases the probability of further easing of monetary policy of the Reserve Bank of Australia, which will lead to a drop in the national currency of Australia. We expect a continued fall in the near future and maintain the medium-term negative outlook.

Currency trading and the New Zealand dollar. New Zealand dollar price declines in the correction after strong growth last week. It should also be noted the negative impact of statistics on the index of consumer confidence in New Zealand, which in Q3 dropped to 106.0 against 113.0 in the second quarter. This fact indicates that the decline in optimism in New Zealand is due to lower interest rates and falling prices for dairy products, as well as fluctuations in the Chinese market. We expect falling of the New Zealand dollar in the medium term and recommend holding short positions.

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