The Euro is aggravating its correction. Overview for 23.10.2019


The major currency pair continues retreating in the middle of the week; the Euro isn’t happy about the Brexit news.

EURUSD remains under pressure on Wednesday due to the absence of efficient decision on the Brexit. The current quote for the instrument is 1.1120.

Yesterday, the House of Commons of the United Kingdom finally approved the Brexit deal Boris Johnson made with the European Union earlier. However, there is another problem: the British policymakers are in no hurry to ratify it, although there isn’t much time left for that, thus holding both the Euro and the Pound in suspense. After all, it is important for the European currency that the Brexit starts at the specified time. This may reduce the risks of a recession in the Euro Area. 

Numbers published by the USA yesterday were rather weak. The Existing Home Sales dropped in September and was 5.38M after being 5.50M in the previous month. The indicator was expected to decrease because the August reading was very impressive, but the actual decline turned out to be more serious. 

However, on YoY, the indicator added 3.9%.  

Right now, the existing homes sector in the USA has its own specific features, which may explain a local slowdown in sales. First of all, it’s a low quality of real estate offered to customers, as it doesn’t meet customers’ requirements, who, in their turn, are ready to buy due to low interest rates. Moreover, prices are growing too fast and that makes potential buyers postpone their purchase. 


Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.