VOT Research Desk
Following a significant increase in the second half of the previous week, EURUSD is under some negative pressure on Monday.
Price movement surrounding the euro is anticipated to closely track dollar trends, geopolitical tensions, and the Fed-ECB divergence in the interim.
The primary barrier to a long-term rebound in the pair is now the Fed’s recent decision to raise rates and the possibility of a tighter stance going forward.
Market sellers have returned, and on Monday, EURUSD gives up some of the recent significant rise.
The EURUSD is presently under some downside pressure after Friday’s flirtation with the August high near 1.0370, though it has so far done well to keep the trade above the crucial 1.0300 level at the start of the week.
Investors appear to be taking advantage of some of the recent strong increase, which was in part spurred by lower-than-expected US inflation data for October, which in turn fed into rumours that the Federal Reserve might delay the pace of future interest rate hikes.
