The EURUSD pair currently finds itself in a firm downtrend, which looks poised to continue depreciating soon. In fact, the underlying price action is currently establishing a minor bullish correction that likely serves the role of an intermittent break in the development of the broader downtrend. It remains to be seen whether this correction's completion will be followed by continued price depreciation, which is what all underlying factors seem to suggest.
At the highly anticipated monetary policy meeting of the European Central Bank from earlier today, the Governing Council of the bank decided to leave the key rates unchanged at their current near-negative levels. The euro was not bolstered by this policy decision, which presupposes the likely continuation of the single currency's weakening.
Meanwhile, the American economy remains on track to a robust recovery, which is likely to continue supporting the recuperation of the dollar. Inflation is growing at a faster pace in the U.S. compared to the Eurozone, while labour market expansion is also gaining momentum on the other side of the Atlantic.
|Short Term||Long Term||Net % Gains|
|112 PIPS||0||85 PIPS||0||
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