However, buyers have failed to gain a foothold above the key level of 1.2500. Thus, the price is below the resistance trend line, passing through the “fall” highs. In December, we are waiting for the resumption of sales for euro targets 1.2360 and below.
The expectations of easing from the European Central Bank Continue to put pressure on the euro. The next meeting will be held on this coming Thursday, December 4. Low energy prices dipped European inflation still lower. As a result, the market is gaining confidence: in the next few months, the European Central Bank will announce the launch of a full-scale quantitative easing.
The officials of the currency bloc must be still waiting for the results of the second round of the program’s concessional lending of TLTRO banks, which will be announced on December 11 – a week after the December meeting. Weak demand for cheap loans can be a sufficient argument to launch stimulus already at the beginning of 2015.
In addition to the meeting on Thursday, it is recommended paying attention to the PMI index for November during the new week, which will be published on Monday and Wednesday. Also, data on retail sales for October will be published on Wednesday.