The US dollar is strong across the board today and that's weighing on the euro, which ended an 8-day rally this week. Yesterday, I talked about the opportunity to sell the euro in a video but didn't mention targets.
An initial one is 1.1095, which was the old series of highs in April.
EURUSD daily
That would make for a decent short term trade but I'm bearish in eurozone economic prospects and increasingly worried that the Federal Reserve will need to hike to 6% or hold rates high throughout 2024. The market is pricing some of that in today with US yields up 9-12 bps across the curve following strong initial jobless claims numbers.
That may set up a return towards the parity zone and I'd hate to waste a good entry.
