Scotiabank reports slight dip in Euro below 1.17, but support remains strong

    by VT Markets
    /
    Aug 14, 2025
    The Euro is a bit weaker today but remains above recent lows. Current price movements indicate short-term adjustments. Eurozone data shows no changes for Q2 GDP, which is steady at 0.1% quarter-on-quarter and 1.4% year-on-year. June’s Industrial Production dropped by 1.3% month-on-month, following revised strong growth in May. The Euro is trading in the upper 1.16 range, which doesn’t disrupt its overall upward trend since earlier this month. The declines from yesterday seem to be more of a pause before possible gains. Support is at 1.1635, and if the Euro exceeds 1.1710, it could rise towards 1.1750. It’s important to note that projections come with risks and uncertainties, so thorough research is essential before making any investment decisions. Understanding risks and potential losses is crucial. This content should not be interpreted as a recommendation to buy or sell specific assets. The views shared here do not necessarily reflect official policies. No one is responsible for any inaccuracies or errors in the information provided. Personal investment advice is not given. As of today, August 14, 2025, the Euro is pausing but remains strong above recent lows. This pause appears to be a short-term break rather than a trend shift. The upward trend from earlier this month seems to continue for now. Recent economic data from the Eurozone presents a mixed picture, with June’s industrial production figures showing a decline. However, the July flash CPI estimate for the Eurozone was 2.7%, slightly higher than market expectations. This persistent inflation makes it less likely that the European Central Bank will cut interest rates soon. Looking at the U.S. side, initial jobless claims released today rose unexpectedly. This contrasts with the significant rate hikes we saw in 2023, suggesting the Federal Reserve might consider easing policy more than the ECB. This situation may help support the Euro. For those trading derivatives, a cautious and optimistic strategy may be wise in the coming weeks. Buying call options with strike prices above 1.1710 could help capture upside potential towards the 1.1750 level while limiting your maximum risk. This strategy allows for participation in a rally without full exposure if prices drop. However, support at 1.1635 is an important level to monitor. If prices fall below that, sentiment could shift quickly. Traders may want to buy protective put options below this level as a safeguard against sudden market reversals.

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