Yesterday, the unwinding of the “Trump rally” continued, and the Euro rose past the previous day’s high of 1.0914, reaching 1.0936. The U.S. ISM Non-Manufacturing Index for October, which was released yesterday, showed stronger-than-expected results. While the Euro briefly fell after the release, it quickly rebounded as traders closed their short positions on the Euro.
With the U.S. presidential election today and the upcoming FOMC meeting this weekend, it seems the unwinding of Euro shorts (or selling) has mostly completed. From here on, speculators will likely focus on moves based on the election results.
However, it may take quite some time for the final results to come out. Until then, expect a volatile market that could swing up and down.
Euro-Dollar Expected Range: 1.0990 – 1.0750
Note: The above information does not guarantee profit. Please make your own decisions when trading.