FOREX - Trends, Forecasts and Implications (Episode 16: June 2012) - page 326
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It's like I've been written off) It's all the same. That's the bad thing, so many have stood up as well. I'll stand to the last man, but I'm pretty sure that before the north, the stilettos will knock my feet off.
The proposals are part of a plan to reform the EU and turn it into a closer fiscal union. The draft document also talks about greater integration in the banking and political spheres.
The EU summit comes in a highly charged atmosphere: Cyprus recently became the fifth member state to formally request international aid, citing banking sector problems linked to the depreciation of Greek assets, while in Greece a hard-fought coalition government lost its finance minister after fresh parliamentary elections who resigned for health reasons just four days after his appointment.
Previously, Germany had been a major proponent of greater control over the finances of troubled countries in the region, linking the issue to the possibility of issuing eurozone single sovereign bonds. Perhaps the discussion about enforcing changes to the budget policies of countries that violate the EU's debt and budget rules is an attempt to push Germany into accepting the idea of issuing joint debt obligations.
The draft document envisages that the EC will work out specific proposals to change the budgets of troubled countries, and then the EU will jointly decide on their implementation.
While formally the EC will make "proposals" for fiscal policy changes to delinquent countries, the document, which is likely to be discussed at the summit, also proposes specific mechanisms to force such countries to meet their obligations, notably fines.
The new draft gives the EC far greater powers than it wanted last year, when its experts proposed allowing the body to veto national budgets before they came into force.
The new draft also proposes annually within the euro zone to agree on the size of the national debt and budget deficit for each country, while increasing the borrowing ceiling for one country would require the consent of all other members of the monetary union.
The document was authored by EU President Herman Van Rompuy, European Central Bank (ECB) Governor Mario Draghi, European Commission (EC) President José Manuel Barroso and Luxembourg Prime Minister and Finance Minister Jean-Claude Juncker, who heads the permanent meeting of eurozone finance ministers (Eurogroup).
The authors of the document met on Monday and were due to send it to EU leaders on Tuesday night, according to the Financial Times.
Last week, it became known that the same individuals are preparing their own proposals on the possibility of placing common short-term debt, the creation of a special single fund to buy the debt of "troubled" countries, as well as the unification of rules for the supervision of the banking sector.
It is still being launched)))
Analysts at US financial blog Zerohedge made an interesting observation about the EUR/USD pair.
Yesterday the European Central Bank announced that over the past week its balance sheet has increased by EUR 31 billion to a new record high of EUR 3.058 trillion. This increase is mainly due to an increase in main refinancing operations (MROs). In contrast, the Fed's balance sheet remains unchanged or is slightly decreasing.
The authors of the blog point out that the EUR/USD exchange rate is usually based on the ratio of the balance sheets of the Fed and the ECB. In recent months, however, this trend has broken down as markets have been in constant anticipation of the Fed announcing a new round of QE. A fair exchange rate for the euro according to this method is now $1.1600.I got into longs on EUR/CHF for 0.9 lot. I've been in it for three weeks now. I'm still dangling about 2,000p. But my idea is simple:
I think it will shoot upwards, then I'll exit with a profit of about 350,000 - 380,000r.
Stop just nothing, under the flat, there is about 22 (220 points on five-digit) points stop.
I have charged 12 000 r. on 1 to 500 leverage. Almost all securities are in the pledge))))
In short, if it breaks through the lower support I am losing about 10,000p.
And if it goes upwards, the movement should be strong.
So I am sitting in it.
How much longer do I have to wait? What are your thoughts ???
P.S. the avalanche has nothing to do with it ) By the way, that's how I trade it. It works fine ?)
For the EUR/CHF it's just a rumor, but it's just a promise.
The situation with the strengthening of the Swiss franc made the monetary authorities of the country to act. It is known that the Central Bank of Switzerland took extreme measures to reduce the value of the national currency, rumors of which appeared on the net quite recently. Since the statement, CBCH will not allow the EUR/CHF pair quotation below 1.2 and will maintain this level by any means. The CBA representatives also said that the country's monetary authorities will buy foreign currencies in unlimited quantities to stabilize the situation in the economy, worsened by the strengthening Swiss franc. At a EUR/CHF exchange rate of 1.2 the franc is still expensive and according to their forecasts should continue to fall. If deflationary pressures continue to mount and the Swiss economy does not improve, the Swiss central bank will continue to act aggressively. Immediately after the news broke, the Swiss franc fell sharply against all currencies, especially the euro and the US dollar, while the Japanese yen fell sharply against the US dollar.</p><p> </p><p>It should be noted that in 1978 the Swiss Central Bank took similar aggressive steps to reduce the value of its national currency. But then the benchmark was the Deutsche Mark. By selling the Swiss franc against the American dollar the value of the Swiss franc plummeted by 20 per cent in 3 weeks. But the situation is a little different now than it was a quarter of a century ago. Back then the CBR was only fighting against the currency of one country, Germany, but now it is fighting against the Euro which represents almost the whole of Europe. Crucially, the fact that the CBSH's actions in 1978 led to a sharp rise in the country's inflation rate to 7 per cent in 1981, which led to a decline in Swiss confidence in the monetary authorities, who were never able to keep the franc at the desired level.</p><p> </p><p>Yes, the actions of the Swiss central bank are aggressive and unexpected, but to change the mood of global investors, who consider the Swiss national currency one of the safest assets, the Swiss monetary authorities will have to wrestle with the global investor, which sometimes is not easy, especially when the financial markets are getting worse by the day. In 1970 the Swiss central bank was also struggling with a strengthening franc, which was not an easy task and the situation in 1970 is very similar to what we see today. Economists think that the reason for the appreciation of the Swiss franc back then was the soft monetary policy of the USA and hence a very cheap American dollar. It is hard to believe that 40 years later the situation is repeating itself! The pressure on the Swiss currency began to diminish a little later, but not because of the actions of the CBN, but only after inflationary pressures in the US began to exceed all planned levels and the Fed began to tighten its monetary policy by raising the interest rate, thereby making the US dollar more expensive against the Swiss franc.</p><p> </p><p>The Swiss monetary authority's action was immediately criticised by many analysts and experts, many of whom believe that today's decision by the Swiss monetary authorities will launch currency wars that will only add to the confusion on financial markets. Swiss exporting companies are now at a competitive disadvantage to their European competitors because of the cheap franc. It is these speculative views that have pushed Swiss stock markets up 4% since the news broke
I would recommend not trading at all until Monday, if you can't wait until Friday.
http://www.reuters.com/article/2012/06/27/us-markets-stocks-idUSBRE84S0BG20120627?feedType=RSS&feedName=businessNews&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+reuters%2FbusinessNews+%28Business+News%29
What Margaret wrote about.
Keep in mind this information is pretty old from the days of strong movements in the pair
http://www.teletrade.ru/analytics/review/2796831
If they don't have the required currency, they may start a bull run... If they don't have the required currency, they may start a gold rally.
But what is the use, TS is TS, but the volume was thrown up, I got -130 pips and now I'm in the red.
The only problem is that the TS is the TS, but the volumes on the growth were thrown, I caught the LOSSATINES -130 pips, now in the baja.
I do not know how you got into the sell. Look:
What could be selling after yesterday's daily candlestick?
The fact that the Euro is falling does not mean that the dollar is getting stronger, it is falling because of the European problems, but Australia is a little bit to the left of Europe)))