Bearish investors are hoping to have their luck against the tide
FX_IDC:EURBRL Euro / Brazilian Real
The euro to the Brazilian real exchange rate has the potential to go down towards its support level as the euro slows down momentarily. Bearish investors are hoping to have their luck against the tides, possibly pulling the prices lower towards their support in the coming days. However, the move will mostly have a minimal dent on the momentum of bulls as it will not be enough to push the 50-day moving average lower against the 200-day moving average. As of today, the pair has been trading neutrally as both sides wait for further guidance that could tip favors into their ends. The deal between the leaders of the European Union is the main factor that contributed to the prowess and strength of the euro now. And the Brazilian real is weighed down by the struggling country whose economy has been greatly battered by the pandemic. The number of COVID19 cases in Brazil makes it difficult for the real to fully recover against other major currencies.