In the last month of the year it is scheduled two important events that have a significant impact on market dynamics. This meeting of the European Central Bank and the US Federal Reserve - the world's two largest central banks. It should be noted that it is important for the market itself is not a decision to be taken by the regulator and the market reaction. It is this position and makes December so interesting.
Recall that the first meeting will be held on the European Central Bank on December 3 at which, according to experts will decide on new measures to stimulate the economy, which is primarily weaken the euro. Now traders it is important to assess the situation, to predict how vyshezaznachennoe taken into account in valuations. For example, some analysts believe that the euro / dollar, investors have taken into account the likely decision of Mario Draghi of the economy and mitigate the weakening of the euro will continue for long.
In turn, the policy of the US Federal Reserve the opposite policy of the ECB. At a future meeting to be held on December 15-16, the high probability that the monetary policy tightening expected. Quotes raising interest rates now account for 78 percent. Thus, if things happen as expected, investors and the central bank will raise the rate, the dollar continues to strengthen.
The opposite policy of the ECB and the Fed will reduce the euro in 2016, some economists point out that high probability of parity euro / dollar, while others say it is possible to reduce the euro below parity with the dollar.
From the above it can be concluded that now traders will open many positions on the dollar, and has been adopted and announcement of the decision will make a correction in the market dynamics.
According to the materials wELTRADE