Consumer expectations for inflation in the Eurozone increased slightly in August, reinforcing the view that it is too early for the European Central Bank to declare victory in the fight against inflation. The monthly survey published by the ECB shows that consumer expectations for inflation in the next 12 months have risen from 3.4% to 3.5%, and expectations for inflation over the next three years have increased from 2.4% to 2.5%. In terms of economic outlook, consumers have become more pessimistic, expecting the economy to shrink by 0.8% in the next 12 months, compared to the previous forecast of 0.7%.
We can see that the EUR/USD is trading around the 48-hour moving average on the H4 chart. Additionally, the MACD histogram and the double-line appear to be contracting, indicating the potential for a downturn. However, in the short term, investors are awaiting US CPI data for September, and if the data comes in below expectations, the EUR/USD exchange rate may rise due to a weaker US dollar.
We can see that the EUR/USD is trading around the 48-hour moving average on the H4 chart. Additionally, the MACD histogram and the double-line appear to be contracting, indicating the potential for a downturn. However, in the short term, investors are awaiting US CPI data for September, and if the data comes in below expectations, the EUR/USD exchange rate may rise due to a weaker US dollar.
EURUSD BUY LIMIT 1.0570 - 1.0560
TAKE PROFIT 1: 1.0600
TAKE PROFIT 2: 1.0630
STOP LOSS: 1.0530