KEY GRAPHIC ELEMENTS
The chairman of the US central bank has clearly announced that he wants to lower interest rates, starting next month at the September meeting. Investors are now betting on three or even four rate cuts from the Fed by the end of the year. In addition, indicators of long-term inflation expectations in Europe have reached their lowest level in almost two years. This is a sign that investors believe that central banks can continue to lower interest rates without risking a surge in price pressures. In this context, currency traders continue to bet on an appreciation of the euro against the dollar. Today, few statistics are expected, so we will have to be content with durable goods orders in the United States, a statistic published at 2:30 p.m., French time, to see currencies come alive while they are temporizing after significant daily impulses unfavorable to the dollar.
Technical Section: The European currency continues its rise thanks to an accommodative tone from the American central bank. However, the euro should consolidate at least laterally to take support from its ascending daily bullish moving averages. We can therefore monitor the declines to 1.11 to position ourselves for buying in the direction of the upward trend to target the next resistance zone at 12.50.
MEDIUM TERM FORECAST
Considering the key graphic factors that we have mentioned, our opinion is neutral in the medium term on the Euro Dollar (EURUSD) parity.
We will maintain this neutral opinion as long as the Euro Dollar (EURUSD) parity rates are positioned between the support at 1.1134 USD and the resistance at 1.1250 USD.
The News Bulletin 247 council
DAILY DATA CHART
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