EUR/USD: The pair is looking for direction, with a slight downward in favor

Vasilis Tsaprounis Independent Analyst

In a narrow range near 40 points below the level of 1.07 fluctuates in the early hours of Tuesday the pair looking for direction .

The exchange rate confirmed last week's estimate that it will be difficult to keep above 1,0740 level with a slight downward momentum .

The development on the Ukrainian front continues to create clouds in Europe , as unfortunately both sides do not seem willing to enter into serious negotiations and concessions in order to bring Peace back .

Restoring stability to Europe's neighborhood will certainly favor the single European currency and may be the key element in changing course and restoring prices significantly above 1,10

It is difficult to have estimates in this, but if someone was pushing in order to receive an even approximate answer, I would prefer to give an estimate that this will happen in the summer months.

Until then, however, the market is focused on the European Central Bank's interest rate intentions.

Markets look forward to Thursday's meeting and data on European economy growth a day earlier .

In view of these important developments, we believe that the trading will continue to move in a limited range with a slight downward dynamics .

Author

Vasilis Tsaprounis

Independent Analyst

Vassilis Tsaprounis possesses over 25 years of professional experience in Capital Markets and especially in the foreign exchange market.

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