EUR: Europe’s strategic autonomy may support the Euro – ING

💡 DMK Insight

The Euro’s potential for upside hinges on Europe’s strategic independence, and here’s why that’s crucial right now: With growing consensus on Europe needing its own path, the EUR/USD pair could see upward momentum. However, traders should keep a close eye on the resistance zone around 1.1770-1.1780. If the Euro can break through this level, it might signal a stronger bullish trend, attracting both retail and institutional interest. Conversely, failure to breach this resistance could lead to a pullback, especially if broader market sentiment shifts due to geopolitical tensions or economic data releases. It’s also worth noting that this situation could ripple into related markets, like commodities or equities, particularly those tied to Eurozone economies. Traders should monitor economic indicators from the Eurozone, especially any shifts in monetary policy or inflation data, as these could impact the Euro’s trajectory. Keeping an eye on the daily charts for momentum indicators will also be key in gauging the strength of any potential breakout.