Something unusual happened in the currency market during the previous day, although this is quite a frequent occurrence lately. The European currency began to gradually decline after it showed an impressive growth on Friday. In general, there was a classic rebound. On the other hand, the pound behaved slightly differently. Apparently, it continued to grow. Moreover, the growth turned out to be no less than on Friday, when there was every reason for this.
At the same time, there was practically no news background yesterday. Not only there was no macroeconomic data, but also nothing interesting was reported by the media. In general, speculators control the pound, which led to an increase in imbalances in the form of its clear overbought. Therefore, a kind of rebound suggests itself. Moreover, the single European currency has already somewhat lost its position. However, the strangeness of speculative hype is that at least some reason is needed for the reversal. Unfortunately, the data on America's open vacancies – the total number of which should grow from 7,367 thousand to 7,400 thousand, do not belong to any category that can somehow affect the mood of market participants. Although taking into account the growth of the unemployment rate, the increase in the number of open vacancies clearly indicates that unemployment will soon decline again.
Overall, we can only rely on the mass media, which can inflate the next insignificant event to universal proportions, and thereby influence the mood of speculators. However, there is still an option that some speculators will decide that it is time to fix the profit, and thus provoke the beginning of the pound's downward movement.
Job Openings (United States):
Yesterday, the EUR/USD pair formed a quite noticeable side channel within the borders of 1.2126/1.2178, which served as a slowdown in the upward movement from May 7. We can assume that the borders of the range will still serve as support and resistance in the market, but the trading tactics are still based on the method of breaking through one or another border of 1.2126/1.2178, revealing the outgoing impulse.
The GBP/USD pair reached the level of 1.4157 after a series of upward impulses. In relation to this, a stagnation occured within the limits of 1.4107/1.4157. This slowdown is similar to the process of accumulation, so we should expect an acceleration soon by the time one or another border of the range is broken.
