At the beginning of the week, the euro rose to the upper 1.09 level following reports favoring Harris. However, after Trump’s decisive victory, the dollar strengthened significantly, causing the euro to fall to 1.0683. Although there was some buying back of the euro, news of the German finance minister’s dismissal and the collapse of the coalition government sped up euro selling.
This week, the effects of the “Trump Rally” continue, and along with the uncertainty in German politics, the euro is expected to struggle to rise. From a technical perspective, the 21-day moving average has crossed below the 200-day moving average, signaling a potential sell, which suggests the euro may test the April low of 1.0601.
This Week’s EUR/USD Forecast Range: 1.0840–1.0600
Note: This is not a guarantee of profit. Please make your trading decisions carefully.