Euro Traders Prepare for Test of Key Support in Place Since 1999
- Bearish options bets accumulate as wagers on higher rates fade
- ECB may act as stabilising force should trendline be breached
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Traders are focused once again on a key support level for the euro that dates back to the the currency’s inception more than two decades ago.
Geopolitical risks are supporting haven currencies, sending the euro to its lowest level since June 2020 against the greenback. The common currency remains under pressure ahead of talks between Ukraine and Russia officials and options bets show bearish sentiment for the euro is the strongest since March 2020.