EUR/USD Exchange Rate Could Fumble On Italian Election

EUR to USD exchange rate has been crushed in the beginning of today session, as the Italians voted a No for protected changes in their nation yesterday and the Italian PM has surrendered in view of the vote.

This has tossed the third biggest Euro economy and Euro currency rate into turmoil and disarray as this would mean an inversion of a lot of the approaches took after by the Renzi government and this would bring about money related unsteadiness in the nation making the Euro converter rate and European region, as traders were already losing their trust in the Euro currency conversion rate.

As a consequence of this, the market opened today with a huge gap in the EUR to USD exchange rate, as the EUR/USD pair is trying the solid support at 1.0550. Analysts have been specifying that 1.0500 is the zone of last Euro to U.S. dollar exchange rate for the bulls and a tear of that could without much of a stretch open up the way towards 1.00.

It stays to be seen whether this bolster area will hold for now. We have the ECB meeting planned later in this week when the market will anticipate that Draghi will explain the course of events of the QE program which is relied upon to end in March 2017.

On the off chance that he doesn’t enlarge the QE program, that is probably going to give a help to the EUR currency conversion rate over USD currency rate.

Looking ahead, we need to perceive how the euro markets respond to the news of the Italian election result and that will be key for the further transient course of the Euro to USD conversion rate as it had looked solid on Friday yet the outcomes throughout the end of the week have changed everything.