Continuing to maintain a bearish outlook, Novaria is anticipating a drop in EURUSD due to concerns about economic recession in the Eurozone, which could limit the upward momentum of the Euro.
Currently, the currency pair is still constrained below the 1.07 level, and our focus today will be on the release of the Consumer Price Index (CPI) report in the United States, which is expected to have a significant impact on the market. If inflation in the US increases rapidly, it could increase the likelihood of the Federal Reserve raising interest rates again, leading to higher yields and a stronger US dollar. This would directly act as a resistance against EURUSD, making the scenario of a price decline more evident.
Currently, the currency pair is still constrained below the 1.07 level, and our focus today will be on the release of the Consumer Price Index (CPI) report in the United States, which is expected to have a significant impact on the market. If inflation in the US increases rapidly, it could increase the likelihood of the Federal Reserve raising interest rates again, leading to higher yields and a stronger US dollar. This would directly act as a resistance against EURUSD, making the scenario of a price decline more evident.
