defining its up-trend, the Euro climbed until 1.3900 last week. Maybe shortly we will see the 1.4000 level. Consolidations can be expected until 1.3825 and 1.3750, from where we can find new profitable long entries.
The European Central Bank and the Bank of England have pledged to hold down their interest rate to spur the economy.
ECB president Mario Draghi has pledged to keep borrowing costs “at present or lower levels for an extended period of time”, the so called “Forward Guidance”.
Also the British Pound is trading at its heights. A possible sustainable break over 1.6800 could lead the pair until the level of 1.7000, but if it is not able to break its resistance we expect a drop until 1.6640 and further 1.6500.
The new week starts quiet, do not take too much risk. Trade with a smaller position and let’s see how this week is going on.
As always we wish you many profitable trades and a nice week!