EURUSD Let's see... We're still in 90 day pause on tariffs with just under 2 months left and trade deals possible along the way. 30 days or so for the senate to pass the big beautiful bill. (so big, so beautiful) Fedwatch has a 71% chance of zero to only two cuts for 2025 ( thank you uncle powell, I always did like you) mind you while cuts still expected, not as many and not as fast as expected. While some may see "oh, US is still going to cut so that's bad for the dollar" look at where rates are now, relative to others and the current forecast of their rate cut intentions. Our yields are rising because of a knee jerk reaction to sell bonds. Funny how things work, higher yields "should" attract more foreign capital. Fewer jobless claims (although I do fear manufacturing layoffs with credit card delinquency on the rise) US GDP is good! The negative report was crap, supply chain shock pulled inventory in early ahead of tariff fears but foreign investment almost all but made up for it. This import inventory will not be on next quarters GDP report while PaPaw Trump will still be making deals and bringing home the bacon. The EURUSD sat in a range from about 1.05 to 1.11 for two years. Trump optimism made a strong attack on parity for six months from November to April, the dreaded liberation day. His tariff ploys while volitle should be bringing strong economic growth back to US. After the liberation day we set out on 3 months of "woe is me" uncertainty and "sky is falling" sell off in the dollar. You can argue, our debt is too high, the deficit is bad, blah blah blah. In the meantime, I see risk on coming back, buy the dip and the US T-bill maintaining its dominance. I'm not suggesting much, just a mild retracement back into the two year range between 1.05 and 1.11....oh say somewhere around 1.095
EURUSD EUR/USD Price Forecast: Extra gains need a stronger catalyst
The Euro (EUR) lost momentum on Thursday, with EUR/USD coming under fresh downside pressure following weekly tops north of the 1.1300 hurdle. Indeed, the pair slipped back to the 1.1250 zone, where some initial contention seems to have...
EURUSD We have officially pulled into the extreme discount zone of the macro range.
As I mentioned earlier, those 5m supply OBs are to induce sellers to enter the market and those EQHs formed above them provides a definite clue that it will be eventually penetrated through.
Let's see if we will now go for a deep retracement before we touch 50% fib territory below.