The euro edged higher to around 1.1655 against the US dollar during early Asian trading Thursday, maintaining gains above the key 1.1650 level. The European Central Bank’s hawkish stance continues to provide underlying support for the single currency, keeping bullish momentum intact against the greenback.
The EUR/USD pair’s advance comes as traders digest signals from ECB policymakers suggesting a more aggressive approach to monetary tightening. This hawkish bias contrasts with growing speculation around the Federal Reserve’s policy trajectory, creating favorable conditions for euro strength. The 1.1650 level is now acting as immediate support, while further gains could see the pair test higher resistance zones.
Currency traders and forex brokers should monitor ECB commentary closely as any reinforcement of the hawkish stance could fuel additional euro buying pressure. The pair’s ability to hold above 1.1650 suggests solid technical footing for the near term.
FXnCO Insight
Long EUR/USD positions above 1.1650 remain attractive while the ECB maintains its hawkish tone, with immediate stop losses below this key support level.
Source: FXStreet