Sep 24, 2019
Time to Trade the Euro
The main currency to trade today will be the euro (EUR). First, today, at around 08:00 GMT, the manufacturing data from Germany, France and the entire European Union (EU) will be released. After this, at 13:00 GMT, Mario Draghi, the president of the European Central Bank (ECB) will testify in the EU parliament. By the 1st of November 2019, Draghi will be replaced and this marks the last of his testimonies as the president of the ECB.
These two major economic events could open trading opportunities for global investors and traders. If Germany and France release positive manufacturing data, this could positively impact the EUR. In addition, any optimistic testimony from Draghi is also likely to push the EUR higher.
Currently, the major currency pair, the EUR/USD, is trading at around 1.010, with ongoing downside pressure. There are two main reasons for this downward pressure; (1) negative interest rates as well as (2) low economic growth.
Any positive data released today could trigger new demand for the EUR. We might even start to see a new uptrend in the EUR/USD pair, which has experienced a long-term decline since April 2018.