EUR/USD: A whole bunch of macroeconomic indicators...

It's the return of volatility on the forex with many indicators published. In particular, we expect the PMI indices for services in the euro zone and the United States, as well as the Bank of England's monetary policy decision today. For now, Fitch's announcement leaves foreign exchange traders unmoved. On the other hand, the 10-year US rate continues to appreciate, attracting capital to the US dollar. Meanwhile, Brazil cut its base interest rate by half a point to 13.25%, kicking off monetary easing following an anti-corruption campaign. 'inflation. She added that other reductions of the same magnitude could take place at her next meetings. Regarding the technical aspect, the euro is still consolidating its uptrend and is back on its 50-period moving average in daily data. A reaction on this level would send a positive signal to buyers who can then target 1.10 and then 1.13 for the next few weeks.

MEDIUM TERM FORECAST
In view of the key graphic factors that we have mentioned, our opinion is positive in the medium term on the EUR/USD parity.

Our entry point is at $1.0919. The price target of our bullish scenario is at $1.1300. To preserve the capital invested, we advise you to position a protective stop at $1.0826.

The expected return of this strategy is 381 pips and the risk of loss is 93 pips.