The foreign exchange market has been relatively quiet today with no major data reports and central bankers on vacation, according to Scotiabank chief FX strategist Shaun Osborne. Despite this, the Euro has seen some marginal gains and is holding within recent trading ranges. The key drivers for the Euro in the short term are flows, technicals, and external factors.
Although the Euro has pulled back from last week’s high, broader trends still appear bullish. However, near-term trends are flat, and the Euro will need to gain some ground soon to strengthen its bullish momentum. Gains above the minor resistance levels of 1.0940/50 could push the Euro towards 1.10 or higher, while support levels are seen at 1.0875/85.
Overall, the Euro is trading within recent ranges and is influenced by various factors including flows and technicals. The lack of comments from policy makers and light data reports have kept the market relatively calm, but traders are still keeping an eye on key levels such as 1.0940/50 for potential price movements.
In conclusion, the Euro shows signs of bullish underlying trends despite trading off last week’s highs. The currency may need to gain more ground in the near term to strengthen its momentum. Support levels are seen at 1.0875/85, while gains above 1.0940/50 could push the Euro towards 1.10 or higher. Due to the absence of major data reports and central bankers on vacation, the market is quiet, but traders are still monitoring key levels for potential price movements.
