EURUSD traded in a narrow range in the European market, in light of the market calm and investors’ preoccupation with the stock markets.read more
Forecast & Technical Analysis
What is the EURUSD?
EUR/USD or simply Euro Dollar is one of the most significant currency pairs in the Forex market. The pair determines the exchange rate of the Euro against the US dollars. For instance, a quotation 1.1780 describes the value of the Euro in US Dollar, meaning 1 Euro equals 1.1780. Euro, the single block currency, came into existence in 1999 and since then 19 of the 27 EU member states have adopted it. It is so remarkable for a currency pair that did not exist just two decades ago now accounts for nearly 25 percent of the total Forex market volume.
EUR/USD is one of the most favorite currency pairs of both retail traders and institutional investors. The Forex brokers provide the lowest trading spread starting from just 0.2 pips. Some ECN brokers also offer spread starting from zero pips. The pair’s pip value on a standard lot (100,000) is $10. The leverage ratio varies from broker to broker but with some brokers it goes as high as 1:2000.
Euro Dollar Fundamentals
The EUR/USD represents the two well-documented giant economies of the world and for this reason, its fundamentals are often more predictable compared to the other pairs. The biggest factors that affect the value of the pair are the monetary policy and the economic condition of both countries. For instance, a higher interest rate by the US Federal Reserve strengthens the US dollar and drags the EUR/USD lower. Likewise, higher interest rates in the EU or the better economic numbers strengthen the Euro and takes the pair higher.
In the 2008 recession, the EUR/USD surged to nearly 1.1600. The prime reason behind the surge was the US Federal Reserve that stimulated the local economy with trillions of dollars and kept the interest rates nearly to zero. Similarly, in the 2016 Brexit referendum when the UK decided to leave the European Union, the pair plummeted and dropped to almost 1.0350.
EUR/USD is highly regarded for its liquidity and volatility and traders find it ideal for day trading, scalping and even for swing trading.
BrokerTrending.com provides you with the Latest Euro to Dollar (USD) forecasts. Find here a technical analysis on a weekly basis on the currency pair EUR/USD.
EURUSD expanded its losses on Wednesday morning in the European market and recorded the second consecutive daily declineread more
EURUSD fell strongly in the morning trading on Wednesday in the European market, and extended its losses for the fourth consecutive dayread more
EURUSD traded in a limited range in the European market, this stability comes despite the continued decline of the US dollarread more
EURUSD opened in the European market with a decline, recording the third consecutive daily loss and its lowest level in a monthread more
EURUSD continues to decline on the morning of Tuesday’s trading in the European session, and it recorded the second consecutive daily lossread more
EURUSD extended its gains in the morning of Friday’s trading in the European market and recorded the sixth consecutive daily riseread more
EURUSD continues to rise on Wednesday morning in the European market and recorded the fourth consecutive daily riseread more
EURUSD witnessed a rise at the beginning of the week’s trading in the European market, and it recorded the second consecutive daily riseread more
EURUSD rose in the morning trading on Monday in the European market and recorded the second consecutive daily gainread more