EUR/USD today: the euro maintains an upward trend in the weakness of the American dollar

With the opening of the new working week and month, the market continued to maintain pessimism associated with the expectation of worsening trade relations, which have a slowdown in the global economy. With increasing pessimism in the market, the demand for safe haven currencies increases. Thus, the EUR/USD pair continues to be strengthened after a moderate correction at the beginning of the day on the move against Friday.

Events for today:

• 16:45 – the manufacturing business index (PMI) (May) USA will be released.
• 17:00 – the US data are released: ISM employment index in the manufacturing sector  (May) and  ISM business activity index in the manufacturing sector (PMI) (May).

Despite the relative lull, the market continues to monitor the trading voltage, which remains the main driver of the market.

EUR/USD has updated a low at the level of 1.1160, and thus corrected against Friday. Saving risks returned the pair to highs at 1.1170-80. The main driver of growth for this pair is the weakness of the American dollar, which, in turn, is limited by a significant resistance of 1.1190 and 1.1210, which corresponds to the upper limit of the two-month downward channel. Therefore, in the absence of a significant exacerbation of trade risks, we should expect a reversal from resistance levels.

Read also: “Prospects for Boeing shares after the planes crash”

Hanzenko Anton

---

Earn with the help of the trade service on the news Erste News!

Topical articles of the trader’s blog:

1. Should we expect the currency intervention from the Bank of Japan?
2. Political risks in the UK increase the chances of Brexit without a deal
3. Cryptocurrencies as new safe haven assets

Current Investment ideas:

1. Hewlett-Packard shares are ready to close the gap, and we are ready to close the profits!
2. Several reasons to buy Walmart shares. Use the chance to earn!