Good day forex traders.
Welcome to our daily quick update of the EUR/USD. In the previous forecast we noted that the EUR/USD slided lower. The negative outlook of the IMF weighted down on sentiments. Risk taking activities were reduced as a result.
Solution : ProRealTime
Looking at the EUR/USD 4 hourly chart above, we note that the 1.285 held and the currency pair has since recovered and corrected above 1.29.
It was reported that S&P downgraded Spain by two notches and has placed the country on a negative outlook. This brings the country’s bonds closer to junk status and there is cause for concern. While many expected a reaction from the markets, it seems to be mulled for now. A drop in jobless claims of the US to a four year low probably helped maintain sentiments.
Be careful as we head towards the end of the week.