EURUSD above 1.20 for the first time since 2018


The EURUSD pair has rocketed higher recently amid the broad US dollar weakness, and it rose more than 100 pips yesterday, settling above the critical 1.20 level. 

Important supports are now at the psychological 1.20 threshold, and as long as the euro trades above it, the short-term outlook seems bullish. The medium-term trend also points to further upside. 

Additionally, the next support could be seen at previous highs in the 1.1960 region. It is likely that these levels will be tested but should offer a good risk-to-reward long position. 

Finally, another demand zone could be seen at the short-term trend line, which is currently near 1.19. 

The resistance for today's trading might be at 1.21, but bulls will most likely target 2018 highs in the 1.25 area from the medium-term perspective.

The Fed's monetary policy, along with a large fiscal stimulus, should cause inflationary pressures, which could be negative for the USD, at least at the beginning of the inflationary cycle. 
Cookie Policy: The Axiory website uses cookies and by continuing using the website you consent to this. Risk Warning: Trading leveraged products such as Forex and CFDs may not be suitable for all investors as they carry a high degree of risk to your capital. Please read the full Privacy Policy.