EURUSD:
The EUR/USD pair saw an upward movement, recouping from last Friday’s decline to 1.0670. As the new trading week commences, risk appetite is at a higher level, exerting downward pressure on the US dollar and pushing the euro higher. This is as investors prepare for a relatively quiet Tuesday.
The release of key economic data has been postponed until later in the week. Consequently, traders will be focusing on policy makers’ statements until meaningful data releases begin in the second half of the trading week. The next scheduled updates on US gross domestic product (GDP) are for Thursday, while German retail sales data and the latest US personal consumption expenditure (PCE) price index inflation data will round out the trading week on Friday.
Several Federal Reserve (Fed) speeches are anticipated in Tuesday’s US market session, with central planners expected to adhere to a moderate tone in line with Monday’s Fed speeches. The CME’s FedWatch tool indicates that the probability of a 25-basis-point Fed rate cut in September is approximately 70%.
Trade recommendation: We follow the level of 1.0740, when fixing above it we take Buy positions, when rebounding we take Sell positions.
Origin: FreshForex
