The price may make a bullish reversal now. It seems that it has found its support and had a bounce. Thus, the price may make at least bullish correction here. Let us wait and watch what happens.
EURUSD - 08/11/2021 - We look on our way to 1.15 as NFP calls 531k showing improvement in the labour market for FOMC and tapering to begin at the end of this month.
ECB’s dovishness has me bearish long term and can see us testing the 1.16 level before coming down to 1.15.
Reasons to be bearish:
- ECB President Lagarde stresses again that Eurozone interest rates will not be increased any time soon.
- EUR/USD has been moving closer to the historic 2021-low.
- 1.1500 aligns as the next target on the downside.
- As we come into winter the energy crisis may start to bite in Europe as well a seasonal spread of covid maybe?
- EUR economic data appears soft.
All in all I can see us moving up to 1.16 level to test short term but can see the EUR start to see the squeeze of winter.
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