The euro rose to 1.0871 in the Tokyo market but could not reach last week’s high of 1.0888 and dropped to 1.0805. Later, buyers entered at the low price, and the euro recovered to 1.0874.
Slovakia’s central bank governor, Kazimir, said the European Central Bank (ECB) will keep an open mind about inflation risks. This made investors think there will be no more interest rate cuts, supporting the euro.
However, Germany’s Green Party opposed debt control measures and new investment funds, which pushed the euro back down to the low 1.08 range.
The euro rose quickly by over 500 points last week, so a short-term adjustment is likely. But the overall uptrend is just beginning, and buying momentum remains strong.
EUR/USD Expected Price Range: 1.0870 – 1.0760
Note: The above information does not guarantee profits. Please make your own decisions when trading.