EURUSD - The FOMC meeting will weigh on the euro

In our last update on the EURUSD, we noted that the prospect of a rate hike by the European Central bank would temporarily push the euro higher. In addition to that, we stated that this period would likely last until the next FOMC meeting between 1st and 2nd November 2022. With the FED expected to raise interest rates by 75 basis points, we believe it will negatively affect the euro and reinforce the dollar's dominance against all other currencies. Therefore, we remain bearish on the EURUSD for the short-term.

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DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not be a basis for taking any trade action by an individual investor. Therefore, your own due diligence is highly advised before entering a trade.