{"id":18736,"date":"2025-03-19T09:08:28","date_gmt":"2025-03-19T09:08:28","guid":{"rendered":"https:\/\/www.vtmarkets.com\/?p=18736"},"modified":"2025-03-19T09:08:28","modified_gmt":"2025-03-19T09:08:28","slug":"euro-rises-to-six-month-high-before-pullback","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/en-ca\/analysis\/euro-rises-to-six-month-high-before-pullback\/","title":{"rendered":"Euro Rises to Six-Month High Before Pullback"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"559\" src=\"https:\/\/www.vtmarkets.com\/en-ca\/wp-content\/uploads\/sites\/13\/2026\/03\/download-121-1-1024x559.png\" alt=\"\" class=\"wp-image-18740\" \/><\/figure>\n\n\n\n<p><strong>Key Points:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The Fibre (<strong>EURUSD<\/strong>) hits a <strong>six-month high<\/strong> at <strong>1.09456 <\/strong>before pulling back to <strong>1.08726<\/strong>.<\/li>\n\n\n\n<li>The <strong>euro gained 6%<\/strong> in a couple of weeks, as the dollar gets battered.<\/li>\n\n\n\n<li>The <strong>US dollar weakens amid<\/strong> Trump\u2019s back-and-forth tariff drama and global uncertainty.<\/li>\n\n\n\n<li>The Federal Reserve\u2019s upcoming rate decision could significantly impact market sentiment.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity is-style-dots\" \/>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Fibre Rises to Six-Month High<\/h2>\n\n\n\n<p>The Fibre (EURUSD pair) hit a fresh six-month peak at <strong>1.09456<\/strong> Wednesday morning and immediately experienced a pullback. The euro dropped by more than 50 pips to hit a session low of <strong>1.08726<\/strong>. <\/p>\n\n\n\n<p>Going back to the <a href=\"https:\/\/apnews.com\/article\/trump-harris-presidential-election-takeaways-d0e4677f4cd53b4d2d8d18d674be5bf4\">US Presidential Election<\/a> on November 5, the <strong><a href=\"https:\/\/www.reuters.com\/markets\/currencies\/dollar-climbs-trump-makes-early-gains-exit-polls-bitcoin-rises-2024-11-06\/\">euro was climbing steadily<\/a> before being hit by the dollar\u2019s strength<\/strong> following President Trump&#8217;s election victory.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">No More Dollar Kingdom?<\/h2>\n\n\n\n<p>Fast forward to today, and the euro-dollar has rebounded by more than 6% in just a couple of weeks, as traders shun the dollar amid <a href=\"https:\/\/www.msn.com\/en-us\/money\/markets\/tariff-drama-drags-on-stock-markets-need-a-return-of-trump-the-dealmaker-and-5-other-things-to-know-today\/ar-AA1AKWdN?ocid=BingNewsSerp\">Trump&#8217;s back-and-forth tariff drama<\/a>, which is adding to global uncertainty. <\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">The US-European tariff conflict is jeopardizing transatlantic business worth $9.5 trillion annually, the American Chamber of Commerce to the EU warned <a href=\"https:\/\/t.co\/5zHQxZZ7IQ\">https:\/\/t.co\/5zHQxZZ7IQ<\/a><\/p>&mdash; Reuters (@Reuters) <a href=\"https:\/\/twitter.com\/Reuters\/status\/1901522915343970814?ref_src=twsrc%5Etfw\">March 17, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>After the <strong>EURUSD<\/strong> pair fell by 7% to <strong>1.0176<\/strong> in mid-January, all the dollar&#8217;s gains post-election are now erased. The euro is once again challenging the upside, with immediate resistance acting as a key level for short-term movements.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Fed Rate Decision Coming Today<\/h2>\n\n\n\n<p>However, the focus now shifts to the Federal Reserve, as its <a href=\"https:\/\/www.barrons.com\/livecoverage\/fed-march-meeting-interest-rate-decision-today\">rate-setting meeting concludes today<\/a>. While market expectations are leaning towards no rate cut, Chairman Jay Powell&#8217;s commentary during the press conference will be closely scrutinised. <\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">A wavering stock market turns to Fed Chair Powell, &#39;dot plot&#39; projections to ease &#39;stagflation&#39; fears <a href=\"https:\/\/t.co\/wRhvdfJhMB\">https:\/\/t.co\/wRhvdfJhMB<\/a> by <a href=\"https:\/\/twitter.com\/allie_canal?ref_src=twsrc%5Etfw\">@allie_canal<\/a><\/p>&mdash; Yahoo Finance (@YahooFinance) <a href=\"https:\/\/twitter.com\/YahooFinance\/status\/1902146915434951034?ref_src=twsrc%5Etfw\">March 18, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>Market participants are particularly interested in whether Powell offers any signals about possible future rate cuts amid inflation concerns stemming from Trump\u2019s trade policies.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Technical Analysis<\/h2>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"451\" src=\"https:\/\/www.vtmarkets.com\/en-ca\/wp-content\/uploads\/sites\/13\/2026\/03\/19.3_2-1024x451.jpg\" alt=\"\" class=\"wp-image-18738\" \/><\/figure>\n\n\n\n<p class=\"has-text-align-center\"><em>Picture: EUR\/USD drops to 1.09044 as bearish momentum increases, with support at 1.08700, as seen on the\u00a0<a href=\"https:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WA\">VT Markets app<\/a><\/em><\/p>\n\n\n\n<p>EUR\/USD closed at <strong>1.09044<\/strong>, dropping from the opening price of <strong>1.09439<\/strong>, with a high of <strong>1.09456<\/strong> and a low of <strong>1.08726<\/strong> during the session.<\/p>\n\n\n\n<p>The pair showed initial bullish movement but reversed sharply after breaching support around <strong>1.09000<\/strong>, signalling potential further weakness. The <strong>moving averages (5,10,30)<\/strong> suggest a bearish trend, with the short-term MAs crossing below the longer-term moving average.<\/p>\n\n\n\n<p>The <strong>MACD (12,26,9)<\/strong> histogram turned negative, showing further selling pressure, with the signal line moving lower, indicating a continuation of downward momentum.<\/p>\n\n\n\n<p><strong>Key support is at 1.08700<\/strong>, and a break below this level could lead to further declines toward <strong>1.08000<\/strong>. Resistance is found around <strong>1.09500<\/strong>, and a move above this could lead to a temporary reversal.<\/p>\n\n\n\n<p>With market sentiment driven by central bank policies and global risks, breakouts or reversals at these key levels will dictate the next major move<\/p>\n\n\n\n<p><strong><a href=\"https:\/\/www.vtmarkets.com\/trade-now\/\">Create your live VT Markets account<\/a>\u00a0and\u00a0<a href=\"https:\/\/myaccount.vtmarkets.com\/login\">start trading<\/a>\u00a0now.<\/strong><\/p>\n\n\n\n<p><a href=\"https:\/\/www.vtmarkets.com\/#facebook\" rel=\"noreferrer noopener\" target=\"_blank\"><\/a><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>EURUSD hits a six-month high before retracing, as traders watch central bank moves and global uncertainties. Key levels will dictate its next direction. -vtmarkets.com<\/p>\n","protected":false},"author":66,"featured_media":18740,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[31],"tags":[56,10,46],"class_list":["post-18736","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-euro","tag-forex","tag-policy"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/18736","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/comments?post=18736"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/18736\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media\/18740"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media?parent=18736"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/categories?post=18736"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/tags?post=18736"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}