The key question for EUR/USD traders in the coming week is whether all the negativity towards the Euro has now been so fully discounted that a rally is due. The answer? Probably not.
EUR/USD began last week brightly enough but fell sharply Thursday and now looks likely to drop further as the markets begin to believe ECB President Lagarde that Eurozone rate hikes are not on the .
Rising inventories and a likely OPEC+ output increase are bad news for crude oil prices, and that’s negative for petrocurrencies like the Russian Ruble, Canadian Dollar and Norwegian Krone.
IG client sentiment data are sending out a bullish signal for EUR/GBP as the markets wait for this week’s Federal Reserve and Bank of England monetary policy decisions, followed by US non-farm payr.
GBP/USD is looking weak ahead of tomorrow’s monetary policy decision by the US Federal Reserve and Thursday’s policy announcement by the Bank of England.