The EUR/USD continues to retreat, but the short pressure begins to relieve

  • The EUR/USD marked its fifth consecutive day on Tuesday.
  • Market holders lightly take the US data error.
  • The requests for the US durable goods will be published on Wednesday while the euro operators wait.

The EUR/USD has decelerated its recent rhythm of falls, but has still lost ground for the fifth day of consecutive negotiation, since the price action continues to test below 1,0800. The euro is having difficulty finding support, since the remarkable lack of significant EU data on the economic agenda leaves Fiber bidders at the mercy of geopolitical holders and market flows from US data publications.

On Tuesday, the US Board Conference (CB) reported an increase in consumer inflation expectations one year, rising to 6.2% in March from 5.8% in February. Consumers are still very concerned about persistently high prices of essential household items, particularly eggs, and possible inflationary impacts of tariffs imposed during the Trump administration. In addition, the CB consumer confidence survey revealed a fall in future economic expectations, collapsing to a new minimum of 12 years of 65.2 in March, significantly below the 80.0 brand that typically indicates a possible recession.

Adding to these concerns, the Moody’s qualification agency issued a strong warning early on Tuesday, highlighting a “deterioration” in the US fiscal strength, particularly in relation to the growing service challenges of US debt service. Moody’s also projected that the country’s fiscal strength will probably face a prolonged decline, a statement that will probably angry Donald Trump and his administration, who are currently advocating a substantial increase in the debt roof by Congress.

In US economic news, the requests for lasting goods are expected to be published during the New York market session. In general, it is anticipated that these orders decrease by -1.0% in February, after a solid rebound of 3.2% in January.

EUR/USD price forecast

A five -day constant drop has pushed EUR/USD below the level of 1,0800, and the torque could be prepared for an additional setback to the 200 -day exponential mobile average (EMA) about 1,0675. A short -term change has dragged Fiber back down after an upward impulse towards the technical level of 1,0950 fades, and the EUR/USD now has a new technical roof with which to deal with if the bidders can stabilize their ship.

EUR/USD daily graphics

Euro Faqs


The euro is the currency of the 19 countries of the European Union that belong to the Eurozone. It is the second most negotiated currency in the world, behind the US dollar. In 2022, it represented 31 % of all foreign exchange transactions, with an average daily business volume of more than 2.2 billion dollars a day. The EUR/USD is the most negotiated currency pair in the world, with an estimate of 30 %of all transactions, followed by the EUR/JPY (4 %), the EUR/GBP (3 %) and the EUR/AU (2 %).


The European Central Bank (ECB), based in Frankfurt (Germany), is the Eurozone reserve bank. The ECB establishes interest rates and manages monetary policy. The main mandate of the ECB is to maintain price stability, which means controlling inflation or stimulating growth. Its main tool is the rise or decrease in interest rates. Relatively high interest rates (or the expectation of higher types) usually benefit the euro and vice versa. The GOVERNMENT BOOK of the ECB makes decisions about monetary policy in meetings that are held eight times a year. The decisions are made by the directors of the National Banks of the Eurozone and six permanent members, including the president of the ECB, Christine Lagarde.


Eurozone inflation data, measured by the harmonized consumer prices index (IPCA), are an important economic indicator for the euro. If inflation increases more than expected, especially if it exceeds 2% of the ECB, it forces the ECB to rise interest rates to control it again. Relatively high interest rates compared to their counterparts usually benefit the euro, since they make the region more attractive as a place for global investors to deposit their money.


Published data measure the health of the economy and can have an impact on the euro. Indicators such as GDP, manufacturing and services PMIs, employment and consumer trust surveys can influence the direction of the single currency. A strong economy is good for the euro. Not only attracts more foreign investment, but it can encourage the ECB to raise interest rates, which will directly strengthen the euro. Otherwise, if economic data is weak, the euro is likely to fall. The economic data of the four largest economies in the euro zone (Germany, France, Italy and Spain) are especially significant, since they represent 75% of the economy of the euro area.


Another important fact that is published on the euro is the commercial balance. This indicator measures the difference between what a country earns with its exports and what you spend on imports during a given period. If a country produces highly demanded export products, its currency will gain value simply by the additional demand created by foreign buyers seeking to buy those goods. Therefore, a positive net trade balance strengthens a currency and vice versa in the case of a negative balance

Source: Fx Street

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