During the American session on Monday, EUR/USD continued to rise, surpassing the 1.0600 level. This upward movement was driven by optimism in the financial markets, highlighted by the positive performance on Wall Street, which weakened the US dollar. EUR/USD is currently in a technically neutral position but with a clear upward trend. In the 4-hour chart, conditions favor further gains as the pair is trading above all of its moving averages, although the 20-period Simple Moving Average (SMA) remains below the longer ones. Technical indicators are well positioned above reference lines, showing no signs of bullish trend exhaustion.
The previous week was characterized by optimism in the financial markets, thanks to Qatar's diplomatic intervention in the conflict between Israel and Hamas. Even though Israel initiated a military operation in the Gaza Strip over the weekend, the cautious approach did not trigger strong demand for safe-haven assets, influencing the decline of the US dollar. Additionally, the preliminary estimate of Germany's third-quarter GDP showed a 0.1% annual contraction, which was better than market expectations of a 0.3% decline. Meanwhile, the Euro Zone Economic Sentiment Indicator for October remained stable at -17.9, in line with previous readings and market expectations.
Peter Kazimir, a member of the European Central Bank's Governing Council, stated that it is still too early to claim that the interest rate hike cycle is over, emphasizing that policymakers cannot guarantee the completion of the job. He also addressed the issue of rate cuts, stating that betting on rate cuts in the first half of next year is out of place. Finally, Germany released a preliminary estimate of the October Harmonized Index of Consumer Prices (HICP), which stood at 3% on an annual basis, down from 4.3% in September and below the expected 3.6%. Regarding economic events in the United States, the only expected data was the October Dallas Fed Manufacturing Business Index, which was previously at -18.1. Therefore, a bullish trend with a retracement towards 1.055 is expected for tomorrow before continuing upward towards 1.0680. Let me know your thoughts, comment, and leave a like to support our work. Greetings from Nicola, the CEO of Forex48 Trading Academy.
The previous week was characterized by optimism in the financial markets, thanks to Qatar's diplomatic intervention in the conflict between Israel and Hamas. Even though Israel initiated a military operation in the Gaza Strip over the weekend, the cautious approach did not trigger strong demand for safe-haven assets, influencing the decline of the US dollar. Additionally, the preliminary estimate of Germany's third-quarter GDP showed a 0.1% annual contraction, which was better than market expectations of a 0.3% decline. Meanwhile, the Euro Zone Economic Sentiment Indicator for October remained stable at -17.9, in line with previous readings and market expectations.
Peter Kazimir, a member of the European Central Bank's Governing Council, stated that it is still too early to claim that the interest rate hike cycle is over, emphasizing that policymakers cannot guarantee the completion of the job. He also addressed the issue of rate cuts, stating that betting on rate cuts in the first half of next year is out of place. Finally, Germany released a preliminary estimate of the October Harmonized Index of Consumer Prices (HICP), which stood at 3% on an annual basis, down from 4.3% in September and below the expected 3.6%. Regarding economic events in the United States, the only expected data was the October Dallas Fed Manufacturing Business Index, which was previously at -18.1. Therefore, a bullish trend with a retracement towards 1.055 is expected for tomorrow before continuing upward towards 1.0680. Let me know your thoughts, comment, and leave a like to support our work. Greetings from Nicola, the CEO of Forex48 Trading Academy.
📈 Nicola | EdgeTradingJourney
Documenting my path to $1M in prop capital through real trading, discipline, and analysis.
Documenting my path to $1M in prop capital through real trading, discipline, and analysis.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
📈 Nicola | EdgeTradingJourney
Documenting my path to $1M in prop capital through real trading, discipline, and analysis.
Documenting my path to $1M in prop capital through real trading, discipline, and analysis.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.