EUR/USD: President Trump enigmatic behavior continues to put the Dollar under doubts

The US currency is trying to balance itself in the early hours of Tuesday after the new pressures it received at the start of the week as President Trump's enigmatic and, for many, questionable policies have raised significant concerns about the broader credibility of US economic policy.

The exchange rate has fallen to levels of 1,15, but has not moved far from yesterday's highs of 1,1575.

The single European currency, without being able to justify this strong momentum on its own, has taken full advantage of the doubt surrounding President Trump's policies and the great concern over the impending trade war and is in the spotlight for the 4th consecutive week.

President Trump's antics don't end with the Federal Reserve Chairman becoming the latest target.

Unfortunately, with such behaviors, the attempt to analyze the markets becomes an extremely difficult task, as from day to day any surprise is very likely, the data is constantly changing, and unfortunately, as it turns out, there are no limits to the controversial policy pursued by US President.

Too much negative data has passed through the market regarding the US dollar, such as the trade war, the possible questioning of the United States debt and the ongoing controversial decisions of President Trump. All of this together has created an explosive cocktail that has put the US currency in a corner.

But let's not forget that the exchange rate concerns two currencies and although the American dollar has many reasons to be in doubt at the moment, on the other hand, the European currency does not have the corresponding reasons to shine so brightly.

Today's agenda is relatively poor, with consumer confidence in the eurozone being the only thing that stands out, with the result that interest remains focused on President Trump and international stock market indices.

The latest developments and President Trump's all-out policy have shaken my confidence in US currency, and for this reason I prefer to remain on the sidelines, although I would consider it quite reasonable for there to be some balance and some correction in the exchange rate very soon.