Euro Forecast

The Euro's rally against the Dollar suffered a setback last week, but the uptrend remains intact from a technical perspective, and a soft U.S. labour market report on Friday could offer a reboot.

Pound Sterling enters the new week with the benefit of two solid consecutive weekly advances against the Euro, which confers a degree of momentum in a calendar-light week.

December is traditionally a good month for the Euro to Dollar exchange rate as seasonality tends to be supportive, although the usual caveats apply according to one strategist we follow.

The British Pound can extend its recent recovery against the Euro, according to a senior strategist at one of Europe's largest banks.

The Euro to Dollar exchange rate continues to exhibit signs of strength that can see it extend its short-term rally, according to Fawad Razaqzada, an analyst at City Index.

EURUSD momentum stays positive, further gains to 1.10 possible even as momentum appears to be waning short-term.

The Pound to Euro exchange rate last week recorded its largest weekly gain since August and could be entering a new uptrend in a week that will be dominated by the release of Eurozone inflation data.

The Euro to Dollar exchange rate had its best week since July last week, but analysts note the advance leaves the Eurozone's single currency looking overextended and at risk of setback over the coming days.

GBPEUR technical setup has broken down, key support level gives way, exposing sub-1.14.

Broader patterns suggest a potential bull consolidation ahead of another push higher in the EUR.

GBP/EUR remains locked in a multi-week downtrend that must be respected; however, signs of emergent oversold conditions could combine with any positive UK data surprises to help a recovery over the coming days.

Divergence in the performance of Eurozone and U.S. economies is about to swing in favour of the Euro, according to new research from DNB Bank, which predicts a consumer-led recovery is about to take hold in Europe.

EURUSD's technical setup is bullish and advocates for further gains over the coming days, but progress will be tested by speeches from Jerome Powell and Christine Lagarde as well as some important German industrial production numbers.

A solid ending to the previous week eases the likelihood of a significant break lower in the Pound to Euro exchange rate.

The Euro's resilience against the Dollar will fade with recent strength not reflecting the fundamental differences between the U.S. and Eurozone economies.

Foreign exchange tacticians at HSBC are looking for another leg lower in the Euro to Dollar exchange rate (EURUSD) as the Dollar is yet to peak.

EURUSD remains supported from technical perspective, Eurozone inflation is key Eurozone risk event.

GBPEUR retains bearish setup near-term, but also well supported in the low 1.14s.

GBPEUR is destined for lower levels according to new research from a leading Scandinavian bank that envisages a world in which the Eurozone economy outperforms that of the UK.

EURUSD technical increasingly constructive, Eurozone PMIs could offer a boost Tuesday, the ECB eyed on Thursday.