FX.co ★ Fundamental analysis for the US dollar for August 24.

Instability. This is what all analysts have been repeating fro 5 trading days in a row.
The market situation is now is highly uncertain. The euro, frank, Canadian dollar, Japanese yen and Australian dollar consolidated. There is almost no any movement. Considering certain currency pairs will help us to understand the reasons of the consolidation. For instance, the Swiss frank consolidated due to being overbought. After the correction a series of oscillators’ indicators registered overboughtness which spurred getting back to the basic movement. Such a rush was preceded by the consolidation. The same holds true of the Australian and Canadian dollars. Speaking technically, it can be explained by the factor of stronger deviation from linear regression. However, it is clear that the reason is more about fundamental factors, logically enough, related to the US dollar.
First, new home sales decreased in the USA. The value of this indicator was released yesterday at 18 (GMT +4), it is 298K. The US home sales data has been quite adverse for more than a year already. The sales in this sector have been slowly yet confidently dipping which has its effects on many related indicators.
Values of durable goods are slated for today. It is expected to fall down to the level -0.3%. At 16 30 (GMT +4) on Thursday we are likely to be pleased by the data on initial jobless claims. Yet it may ruffle the market. The USA has always been facing the acute unemployment problem. Despite possible forecasted decrease in the number of claims, the indicator has been above the psychologically important level of 400K. I would recommend everyone to take into account the data on the GDP due for release on Friday. According to the preliminary estimation by analysts, its growth will slow down to 1.1%. Yet taking into consideration such factors as stable high unemployment and fewer home sales, there is no ground for optimism. In my opinion, under such circumstances the GDP growth may well slow down to 0.8%.
Now let us have a look on the US dollar. In the 4-hour chart we can see consolidation which is clear from most currency quotations.