VOT Research Desk
After breaking above the immediate barrier of 1.0420 in the Tokyo session, the EUR/USD pair has continued its rebound.
The Euro pair is attempting to reclaim Thursday’s high of 1.0445 as the USD Index (DXY) resumes its downward trip following a violent gyration in early trade.
The US Dollar is falling towards Thursday’s low of 105.64 as investors re-channel funds into risk-sensitive assets after returning from a Thanksgiving Day holiday in the United States. On the Eurozone front, investors are watching the price cap mechanism that will be implemented for European gas in the coming months.
Because of Russia sanctions, supply chain bottlenecks in the Eurozone have pushed up energy costs.
According to the Financial Times, Intercontinental Exchange (ICE) has warned that the finalization of the European gas cap would require energy traders to spend an additional $33 billion in margin payments.
|
Daily SMA20 |
1.0153 |
|
Daily SMA50 |
0.9956 |
|
Daily SMA100 |
1.0029 |
|
Daily SMA200 |
1.0393 |
