Don’t waste your time – keep track of how NFP affects the US dollar!

Data Collection Notice

We maintain a record of your data to run this website. By clicking the button, you agree to our Privacy Policy.

facebook logo with graphic

Join Us on Facebook

Stay on top of company updates, trading news, and so much more!

Thanks, I already follow your page!
forex book graphic

Beginner Forex Book

Your ultimate guide through the world of trading.

Get Forex Book

Check Your Inbox!

In our email, you will find the Forex 101 book. Just tap the button to get it!

FBS Mobile Personal Area

market's logo FREE - On the App Store

Get

Risk warning: ᏟᖴᎠs are complex instruments and come with a high risk of losing money rapidly due to leverage.

76.5% of retail investor accounts lose money when trading ᏟᖴᎠs with this provider.

You should consider whether you understand how ᏟᖴᎠs work and whether you can afford to take the high risk of losing your money.

Euro’s forecast from Danske Bank

Euro’s forecast from Danske Bank

Information is not investment advice

According to economists from Danske Bank, the euro is still overvalued. They see the fair price at 1.16. Let’s see why.

To begin with, Danske Bank is a Danish bank, headquartered in Copenhagen. It is recognized as the largest bank in the whole of Denmark and a main retail bank in northern Europe. It is a credible bank with a huge background, therefore its forecasts are taken seriously. Danske Bank has doubts over the further euro appreciation. The main reason is the tech stocks’ boom. All major tech companies are based in the USA, therefore, all the capital flows will be headed there. Moreover, the bank believes the US equity market will keep rallying for longer and attract more and more investors. Danske maintains a EUR/USD forecast of 1.1600 in three months.

Besides, the European Central Bank doesn’t like the idea of the expensive euro as it will weigh on the EU exports and, as a result, may jeopardize the economic recovery. The euro has risen this week to almost multi-year highs but then contracted sharply amid the stronger dollar. If this trend continues, the ECB will have to take some action. According to Pictet Wealth Management, “the ECB is expected to cut its 2022 inflation forecast next week from 1.3% to 1.2% or 1.1% to reflect the deflationary impact of a stronger euro on the price of imports”. Moreover, the ECM may step up the pace of asset purchases as well. In a nutshell, the ECB will make all efforts to depreciate the euro.

Technical tips

EUR/USD has just bounced off the key support of 1.1800. Now it’s moving upwards to the significant resistance of 1.1850, which it has touched a few times already. If it manages to break it through, it will rise to the psychological mark of 1.1900. Support levels are at 1.1800 and 1.1770.

All eyes on the NFP report tomorrow at 15:30 MT time, as it will set the tone for the whole market for Friday and the next week as well. Stay tuned!

Check the economic calendar

EURUSDH4.png

LOG IN

Similar

US Interest Rate Slowdown?

The US Federal Reserve may refrain from more aggressive interest rate hikes in March due to geopolitical risks after Russia's special operation in Ukraine…

Popular

It’s Time to Look at New Zealand

Inflation in New Zealand is the highest since 1990, edging to 7.3% in Q2 2022. The currency is under heavy pressure as the Reserve Bank of New Zealand is trying to reverse the inflationary spiral. The week ahead will give us a valuable clue about the country’s monetary policy, and we are here to talk about that.

Choose your payment system

Feel the Team Spirit

Callback

Please fill in the form below so we can contact you

Select the best time for us to call you. We give calls from Monday to Friday in suggested intervals. In case we couldn't get through, we will try again at the same time the next day. For getting real-time assistance, use FBS chat.

We provide only English-speaking callbacks. If you prefer any other languages, contact the support team.

We will call you at the time interval that you chose

Change number

Your request is accepted.

We will call you at the time interval that you chose

Next callback request for this phone number will be available in 00:30:00

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later