The Euro (EUR) is extending its gains in early trading, rising more than 1% on the day, notes Shaun Osborne, Head of FX Strategy at Scotiabank.
EUR outperforms on the day
“After stabilizing late last week following a test of the mid-1.02 area, EUR gains are advancing strongly today. Final Eurozone Composite and Services PMI data were revised up for December with solid improvements in the reports from France and Germany.”
“Germany’s initial state CPI for December is coming out hotter than expected, meanwhile, adding support to the EUR as markets trim ECB easing bets. EURUSD could move towards the 1.0500/50 range.”
“The strong EUR gains on the intraday and daily charts today suggest a bit more upside potential in the EUR at least in the short term. The chart signals are not obviously bullish and the broader bearish trend persists. But an oversold EUR might be able to extend gains through 1.0460 resistance to test stronger technical resistance at 1.0500/50 Support at 1.0375.”
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.
