The euro fell after U.S. President Donald Trump announced a 25% tariff on the EU. Concerns that the EU will bear more costs for Ukraine’s peace efforts also put pressure on the euro.
In addition, strong U.S. economic data caused the euro to drop after failing to rise above 1.0530. This week, the European Central Bank (ECB) is expected to cut interest rates by 0.25%, but the market has already considered this. If some ECB members suggest stopping rate cuts, the euro may recover. However, Trump’s tariffs and the Ukraine situation could limit any gains.
In January, the euro faced resistance at 1.0530, forming a “double top” pattern. On the downside, the 1.03 level is a strong support area due to technical indicators. If the euro falls below this, the next support level is around 1.02.
This Week’s EUR/USD Expected Range: 1.0520 – 1.0300
Note: This information does not guarantee profits. Please make your own decisions when trading.