EUR/USD today: the pair is under pressure
Yesterday’s expectations for strengthening of the euro did not come true due to the collapse of stock indices and the flight of investors from risks. The opening of the European session followed by the restoration of the single currency, but as the stock indices, the euro has not significantly strengthened.
Events for today:
- 15:30 – data on the US trade balance.
- 17:00 – announcement of the number of open vacancies in the labor market (JOLTS) in the USA
- 23:35 – weekly stocks of crude oil in the US according to the American Petroleum Institute (API).
The market is focused on the general sentiment and the dynamics of the stock indices, which set the tone for trading.
In the face of continued fears in the market and the negative dynamics of the stock indices, one should expect further decline in the EUR/USD pair. The resumption of negative sentiment in the market will trigger a second test of support levels 1.2340 and 1.2310-00, from which the repulsion is possible. The overall dynamics of the pair is squeezed in a sideways trend, what indicates the market’s inability to update the low of last week.
Fig. EUR/USD. The current price is 1.2390.
Hanzenko Anton