EUR/USD: The Euro remains stable on European Central Bank's week

The single European currency remains stable below the 1.06 level in a limited range of variation as the mild upward Momentum is difficult to maintain.

Developments in the Middle East remain high on the agenda and the risk of further escalation currently acts as the main drag on any attempt by the European currency to develop strong bullish momentum.

High yields on US Treasuries and uncertainty continue to favor the US currency for now.

Νevertheless, as was seen last week, the European currency is trying to create defensive behavior and the effects of some good reactions are back on the table.

It is noteworthy to mention that although the international stock markets remain in an environment of pressures and The prospect of seeing lower prices remains high on the agenda the European currency did not follow the immediate correlation of pressures.

Today's agenda is relatively poor and the only thing that stands out is consumer confidence in the Eurozone as there is no macroeconomic data or official statements from US.

Although it is still early, everyone's thoughts are focused on the meeting of the European Central Bank on Thursday, where the decision to keep key interest rates at the same levels is a given, but on the other hand, everyone waiting with great interest President Lagarde's statements regarding  ECB's thoughts on the course of the economy and inflation.

For today no big surprises is expected, the behavior of the exchange rate is expected to have no dramatic changes And if the European currency manages to secure the level of 1,06 but also easily stay above it it will certainly be a success.

In any case, beyond the economic agenda, developments in the Middle East can become stormy and change the picture at any time.

My preference to position in favor of the European currency after sharp dips remains on the table.