Eurusd In Tight Range Scotiabank

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Eurusd In Tight Range Scotiabank

Eur/Usd Trades In Tight Range - Scotiabank

According to Scotiabank's experts, it seems that the market players push the EUR/USD pair. A quick look at the spot shows that it is trading near 1.03 handle.

It appears that the EUR/USD is now inside a tight trading range. This is a sign that the pair is going through consolidation and could find a new direction in the near future.

Industrial Production Had No Impact On Eur

For now, both sides are reluctant to push the EUR/USD in any direction. Recent data showed that the Industrial production (French) jumped by 0.2% during November. Similarly, the Industrial Production in Spain dipped by 0.8% during the same period.

Both of these data releases showed no impact on the EUR/USD and were mostly non-events. That's why we can see that the EUR/USD is in a stable position despite being inside a trading range.

In fact, the EUR is actually giving a pretty good fight to the US Dollar for now. However, the trend momentum shows that the odds are stacked against the EUR. But, the EUR can get some temporary breathing room in the short-term due to the oversold conditions.

The long-term trend of EUR/USD shows that the trend remains in favor of the bears. But this could change if the EUR/USD reclaims the 1.0450 handle and manages to break through it in a sustained manner.

But if this doesn't happen, the chances of any major upsides in the EUR/USD remain dim. On the other hand, the support for the EUR/USD can be found at 1.0200 - 1.0225.

Another way to look at this scenario is the DXY index. If any major upside is seen in the DXY during the Q1 and Q2 of 2025, the EUR/USD could dip lower.

On the contrary, a decline in the DXY index will open up a new door of opportunity for the EUR/USD. In that case, we can expect a significant jump in the EUR/USD pair.

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