The EUR/USD reversed earlier gains to close lower on Friday after the earlier optimism about the Strait of Hormuz re-opening failed to keep the dollar and crude oil under sustained pressure. While crude oil fell about 9% on the day, it closed well off its earlier lows.
The Euro to Dollar (EUR/USD) exchange rate has rallied to highs around 1.18 as hopes for a resolution in the US-Iran conflict have undermined near-term dollar demand. Danske Bank notes a high degree of uncertainty in the short term, but it has shifted its bias and is no longer backing significant short-term EUR/USD losses.
The US dollar weakened sharply while the euro and Pound Sterling surged as oil prices crashed over 13% following the reopening of the Strait of Hormuz, triggering a powerful return of global risk appetite. Markets experienced huge moves on Friday, with oil crashing over 13%.
The Euro jumped to two-month high on Friday, as bulls regained traction after eight-day rally paused for narrow consolidation in past two sessions.
EUR/USD outlook: Hits pre-war levels, on track for further gains on growing risk appetite
The Euro managed to break above the resistance level of the triangle formation to meet the first target at 1.8000. Intraday level supports start at 1.1720 and 1.1600 while as long as the market holds above it, the advance could continue.
EUR/USD: Recovery prospects face central bank pushback – DBS
Our intraday forex analysis covers EURUSD Fall, USDCAD, and UK 100, focusing on key support and resistance levels and potential market direction. EURUSD falls lower The Euro took a step back after gaining over 200 pips in recent sessions.
EUR/USD: Modest upside with key support in focus – UOB
After finding support below the 1.15 level, the Euro to Dollar (EUR/USD) exchange rate has rallied to highs at 1.18 before correcting slightly. The dollar secured support as energy prices surged amid the Iran war, but the currency failed to hold its best levels.
EUR/USD holds above 1.1770, awaiting the outcome of US-Iran peace talks
EUR/USD: Downtrend resumes with stable forecasts – Danske Bank