EUR/USD: forecast for June 22-28
There is a week left until the deadline for Greece to pay to International Monetary fund, but no deal has been reached yet. However, both sides – Greece and the creditors – understand the risks that will emerge in case of the Greek default and exit from the currency block. Negotiations continue on Monday. According to the officials, there is some progress in talks, so we’ll be watching the headlines. Failure to reach a deal could put the euro under a strong selling pressure.
For now, EUR/USD remains quite sustainable despite all the Greek woes. The pair climbed above 1.1400 on the dovish Fed’s meeting outcome last week, but failed to fix there, however. The market is currently building an inverse “head-and-shoulders” pattern, but we’ll be able to call it a bullish reversal only after a fix above 1.1500.
On the new week, watch the euro zone’s PMI for June. Germany will be publishing important figures during all the week – monitor the newswires.
Chart. Daily EUR/USD