EUR/USD Daily Fundamental Forecast
It was more of a wandering around for the EURUSD as it moved up and down aimlessly over the last 24 hours as the market seems to be much more concerned about the impending storm , both literally and figuratively, that is likely to hit the US on Wednesday. We have the blizzard coming in to New York during that day but we also have the FOMC meeting scheduled for that day and it has been made clear that rain or storm, the meeting would go on and we would have the rate announcement and also the statement following the announcement on that day as well.
EUR/USD Set to Consolidate
The EURUSD pair trades just above 1.0650 as of his writing and it is more of a consolidation of the gains and ranging rather than any specific change of trend or a correction. We can expect more of the same today as well as the pair loiters around waiting for the host of data that is scheduled to be released tomorrow.
We did not much of a news event yesterday and as expected, the Draghi speech was more of a drag than anything and it did not bring about any kind of volatility in the EURUSD pair. The euro is still buoyed up by the events from last week when the ECB President Draghi confirmed that the Eurozone was on the path to recovery and was well on its way in terms of achieving its economic and fiscal targets.
Looking ahead to the rest of the day, we do not have any major news from the Eurozone but we have the PPI data from the US. But with the FOMC looming large tomorrow, we do not expect this news event to cause any sort of volatility in the EURUSD pair and we expect some more consolidation and ranging for the rest of the day.