The euro chart is starting to look like a double bottom.
Just ahead is the 55-day MA at 1.0619.
The US Dollar is weak overall today, but the Euro and Pound are particularly strong. I’m a bit wary of price action so late in the month and without a clear catalyst. German yields are up 9.5bps today versus 5.7bps in the US, so there is some spread support, but that’s a tall order.
Europe continues to face potential catastrophe with severely reduced Russian natural gas imports and part of US LNG exports offline.
This article was written by Adam Button at www.forexlive.com.