Forex Blog

First-hand Forex trading experience and information about foreign exchange market that will be useful to traders


Dollar Halts Rally Despite Supportive Data

August 21, 2014 by

Today’s economic reports from the United States were good across the board, making it surprising that the dollar was unable to maintain its rally against the euro. Perhaps traders thought that the rally was excessive or perhaps they decided to take profit ahead of the Janet Yellen’s speech in Jackson Hole, Wyoming, tomorrow.

Seasonally adjusted initial jobless claims were at 298k last week, below the predicted 302k and the previous week’s figure of 312k. (Event A on the chart.)

Philadelphia Fed manufacturing index climbed from 23.9 in July to 28.0 in August, reaching the highest reading since August 2011. It was a pleasant surprise for dollar bulls as the actual reading was far better than the predicted drop to 19.7. (Event B on the chart.)

Existing home sales were at the seasonally adjusted annual rate of 5.15 million in July, above the forecast value of 5.01 million and the revise June figure of 5.03 million. (Event B on the chart.)

Leading indicators rose 0.9% in July. Analysts have expected the same 0.6% growth as in the previous month (which was revised from 0.3%). (Event B on the chart.)

EUR/USD for 2014-08-21

If you have any comments on the recent EUR/USD action, please reply using the form below.

One Response to “Dollar Halts Rally Despite Supportive Data”

  1. Vitalii

    Good note about the US dollar, I was expecting AUD to move down overnight, but it still holds.


Leave a Reply

required (will not be published)