The euro (EUR) jumped after the announcement of tariffs. The 20% reciprocal tariff rate on the EU was largely in line with market estimates. The EUR was last seen at levels of 1,0964, the FX analysts of OCBC Frances Cheung and Christopher Wong point out.
The bearish impulse in the daily chart shows signs of fading
“We remain cautious since other tariffs on alcohol (200%tariff), wood, semiconductors and pharmaceutical medications can continue on their way in the coming weeks. The imposition of tariff direct and access to public procurement.
“The bearish impulse in the daily graph shows signs of fading while the RSI rose. The next resistance is at levels of 1,1020. Support in 1,0850 (DMA of 21), levels of 1,0820 (fibonacci setback of 61.8% of the maximum of October to the minimum of January). We previously share our inclination: seek falls to buy, considering the appearance of several positive factors the EU (which supports growth), the possibility that the loosening of the ECB can slow down and the perspectives of a high fire in Ukraine at some point.
“While the US is a great economic power, other large nations such as the EU (18.4%) and China (16.6%) should not be underestimated. For the EU, the massive spending in defense can be support for growth, while in China there are some signs of an attempt economic stabilization. If the growth of the US collapses as a result of its own actions while the growth of the rest of the world is maintained. USD could end up weakening.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
