Cyprus rescue deal nears
Cyprus is well on track to be bailed out by the Euro-zone, after the bloc's finance ministers made a determined pledge this Monday to extend the much-needed final assistance to the cash-strapped country. The decision should be made official by the end of March, with details on how it will be rescued still unknown. The Eurogroup welcomed the new Cypriot Finance Minister, Michalis Sarris, and the information he provided on the situation in Cyprus following the presidential elections and on the policy intentions of the new government. The first exchanges with the new Cypriot government have been useful. With the new government now in place in Cyprus, the Eurogroup is confident that a swift conclusion of the negotiations towards a Memorandum of Understanding can be reached.
The Eurogroup welcomes the commitment of President Anastasiades, reiterated by Minister Sarris, to closely cooperate with Cyprus's European partners towards the earliest possible completion of the loan agreement. For its part, the Eurogroup reiterates its readiness to assist Cyprus in its adjustment effort, including of its banking sector, in order to bring the economy to a sustainable growth path with sound public finances and to safeguard financial stability. The Eurogroup has been informed that the preparatory work for concluding a Memorandum of Understanding is advanced and that the new government has agreed on an independent evaluation of the implementation of the anti-money laundering framework in Cypriot financial institutions. The Eurogroup called on the international institutions and Cyprus to accelerate their work on the building blocks of a programme, and agreed to target political endorsement of the programme around the second half of March. The Eurogroup will reconvene again in the near term in view of the progress of the discussions between the Cypriot authorities and the international institutions.
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Forex Economic Calendar :
N/A E.M.U. EcoFin Meeting
2013-03-05 09:28 GMT United Kingdom. Markit Services PMI (Feb)
2013-03-05 10:00 GMT E.M.U. Retail Sales (MoM) (Jan)
2013-03-05 15:00 GMT United States. ISM Non-Manufacturing PMI (Feb)
Forex News :
2013-03-05 05:54 GMT USD/JPY breaks below 93.00
2013-03-05 05:40 GMT GBP/USD again quiet in Asia-Pacific above 1.51
2013-03-05 04:35 GMT EUR/USD at peace with 1.30 vicinity
2013-03-05 03:41 GMT AUD/USD higher post-RBA on hold
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EURUSD :
HIGH 1.30462 LOW 1.3018 BID 1.30409 ASK 1.30415 CHANGE 0.12% TIME 08 : 06:44
OUTLOOK SUMMARY : Up
TREND CONDITION : Upward penetration
TRADERS SENTIMENT : Bearish
IMPLIED VOLATILITY : Medium
MARKET ANALYSIS - Intraday Analysis
Upwards scenario: Instrument formed fresh high of the day recently however retail trades sentiment shifted to the bearish side. Further market rise is limited now to the key barrier at 1.3052 (R1), clearance here is required to enable next resistances at 1.3086 (R2) and last one at 1.3118 (R3). Downwards scenario: Next challenge on the downside is seen at 1.3012 (S1). Breakthrough of this level would open way for a stronger expansion and could possibly trigger our initial targets at 1.2977 (S2) and 1.2941 (R3) in potential.
Resistance Levels: 1.3052, 1.3086, 1.3118
Support Levels: 1.3012, 1.2977, 1.2941
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GBPUSD :
HIGH 1.51398 LOW 1.51041 BID 1.51217 ASK 1.51230 CHANGE 0.06% TIME 08 : 06:45
OUTLOOK SUMMARY : Up
TREND CONDITION : Upward penetration
TRADERS SENTIMENT : Bullish
IMPLIED VOLATILITY : Medium
Upwards scenario: Market tested positive side today and formed gradual ascending move. Next resistance in focus holds at 1.5140 (R1). If the break occur here we might see stronger move, targeting next attractive points at 1.5165 (R2) and 1.5190 (R3). Downwards scenario: Market decline below the support level at 1.5099 (S1) might change short-term technical picture and shift market sentiment to the bearish side. In such scenario we expect next targets to be exposed at 1.5070 (S2) and 1.5041 (S3)
Resistance Levels: 1.5140, 1.5165, 1.5190
Support Levels: 1.5099, 1.5070, 1.5041
USDJPY :
HIGH 93.537 LOW 92.913 BID 93.066 ASK 93.072 CHANGE -0.43% TIME 08 : 06:46
OUTLOOK SUMMARY : Down
TREND CONDITION : Downward penetration
TRADERS SENTIMENT : Bearish
IMPLIED VOLATILITY : Medium
Upwards scenario: Possibility of price progress is seen above the next resistance level at 93.28 (R1). Breakthrough here would suggest our interim target at 93.54 (R2) and then target at 93.80 (R3) acts as last supportive measure for today. Downwards scenario: The low of the day offers key supportive barrier at 92.89 (S1). Break here might provide sufficient momentum for the downside expansion later on today. Our initial support levels locates today at 92.63 (S2) and 92.37 (S3)
Resistance Levels: 93.28, 93.54, 93.80
Support Levels: 92.89, 92.63, 92.37
Source: FX Central Clearing Ltd,( FX Central Clearing Ltd )