The EUR and The US Dollar are the top two currencies in the whole world. EUR/USD is the currency
pair in the Forex market which has the largest trading volume because it is the world’s most traded
currency pair (for that reason it is called ‘Common Currency’).
Due to its high demand, it is very volatile and seeks large price movements especially nowadays when the
whole world is going through economic turbulence in wake of COVID-19 pandemic and the unstoppable rise
in the number of cases in the USA.
EUR/USD compares the Euro prices to the US Dollar prices – that means upon rising the value of the
Euro rises and upon lowering the value of the US Dollar increase.
Talking about trends, on Wednesday the EUR/USD pair saw a 0.60% increment in its trading and it has
created a new ripple effect as most of the patterns in charts have been broken. The Forex Market is going
through new waves and patterns as this currency pair has touched the resistance mark of 1.1350 four
times.
If the mark of 1.1350 is broken, then our forex signal providers are suggesting that it will not stop until
it touches the mark of 1.1422. And if the lower trend sets in then 1.1168 will be touched if the lower
resistance mark of 1.1260 is surpassed.
Talking about the mood in the forex market, forex traders are fairly optimistic because of ongoing
recovery and the views towards EUR/USD are staying well, and mainly they are being supported by
monetary stimulus provided by the Central bank. Traders are being attracted to this currency because of
the positive expectation.
The market is also watching a newly found courage in traders for taking risk and this is also the reason
behind the surge in prices. And the low yielding interest in the case of US Dollars is making the traders
look for the price benefits in the Euro.
It seems that the preference is shifting gradually to the Euro than US Dollars and if the trend continues it will
take a long time to change the mood.
EUR/USD is surpassing the barrier of 1.1300 to reach a fresh new mark near 1.1310 on Wednesday and
this is called for new tips in the market and new foresight which will surely cause more surge.
Concluding words will tell that although the future seems positive in case of EUR/USD and all the odds
are in favour of the Euro, but still keep holding on to the US Dollar for the upcoming short term as the
recovery will surely affect the market like a lightening.
