The last days of the euro is in a narrow channel. In yesterday's trading session was marked by an attempt to test the lower levels, but it did not succeed, and quotes the euro back to 1.3380 zone. Volatility in the major currency pairs continues to be low. In connection with the development of the military conflict in Syria the attention of major players in the financial markets has shifted to assets such as gold and oil. European stock indexes closed yesterday in a deep red. But despite the increased activity in the commodity and stock markets, the dollar index is in no hurry to develop any directional movement.
Demonstrated a significant reduction in yesterday quotes pair EUR/JPY. The euro in the cross-country race was the highest in the last eight weeks. Analysts attribute the sell-euro against the yen, with the crash in the stock markets in developing countries, as is traditionally the occurrence of such a situation leads investors to seek protection of assets. Thus, what began in the markets - it's none other than the elimination of the positions in the spectrum of risky instruments. As the dealers, the Japanese yen last year and a half was a source of liquidity. This led to the accumulation of solid volume of short positions in the currency. Due to this, in the near future, the yen will experience additional support.
EUR/USD remains trading within 1.34 - 1.3330 . Before the meeting, the FED is likely the pair will trade neutral and negative, with a slight downward slope. But if macroeconomic statistics in early September will go beyond expectations, we can see a surge of activity in the euro and the attempt to test the boundaries of wide channel 1.30 - 1.34 .
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