EUR/USD Forecast: Euro Shows Strength Against US Dollar Ahead of Fed Rate Decision

Monday, 16 September 2024, 05:58

EUR/USD Forecast indicates the Euro is rallying as buyers jump in on dips. With the Federal Reserve's rate decision approaching, volatility is expected. The interest rate clarity post-FOMC will be crucial for the currency pair.
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EUR/USD Forecast: Euro Shows Strength Against US Dollar Ahead of Fed Rate Decision

EUR/USD Forecast and Technical Analysis

The Euro has shown resilience, rallying slightly in early trading on Monday. Despite ongoing noise in the market, significant resistance is anticipated above current levels. This week’s spotlight is on the Federal Reserve’s interest rate decision on Wednesday, poised to impact the US dollar significantly.

Current Market Behavior

With a choppy market likely leading up to the Fed’s announcement, investors are eager for clarity on monetary policy. The market anticipates a rate cut on Wednesday; however, the future path of rates remains uncertain.

  • Key Support Level: 1.11
  • Major Floor: 1.10
  • Potential Target: 1.12

Should the price pull back, 1.11 is expected to attract buyers, while a breakdown below this level may see heightened support at 1.10. Conversely, a breakout above 1.12 could indicate further upside potential.

Stay tuned for today’s economic events to gauge market movements effectively.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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