EUR/USD Weekly Special Report based on 1.00 Lot Calculation:
EU (European Union) – US TRADE:
- NEWS: US PRESIDENT TRUMP SUSPENDED THEIR RECIPROCAL TARIFFS ON THE REST OF THE WORLD BY 90 DAYS. For the next 90 days, the US will charge countries that are part of the reciprocal tariff plan only 10%, compared to the range of up to 84% previously planned, as it gives time and space for other countries to begin and reach new trade deals with the USA. More than 90 countries have already contacted the US administration to begin talks soon. This has significantly reduced global recession fears.
CENTRAL BANKS:
- US FEDERAL RESERVE INTEREST RATE AT 4.5%. The US Federal Reserve decided to cut its benchmark interest rate by 0.50% points in September, 0.25% points in November, and 0.25% in December. The bank expects to cut rates two more times in 2025 to slash its benchmark rate to 3.9% by the end of 2025. The bank expects rates to fall to 3.40% in 2026 and further down to 3.10% in 2027.
- NEXT FED INTEREST RATE DECISION: May 7, 2025. Markets have recently raised their expectations for three interest rate cuts in 2025, which could eventually bring rates down to 3.75% from the current 4.5% (Source: CMEGROUP.COM).
ECONOMIC CALENDAR:
- THURSDAY, MAY 13, AT 13:30 GMT+1: U.S. INFLATION (CPI) (APRIL): A smaller-than-expected number could be supportive for the EUR/USD because then the FED would be encouraged to lower interest rate cuts. This index measures the change in the price of the goods and services from the perspective of the consumer. Inflation in March came in at 2.4%, slightly less than expected.
EURUSD, May 6, 2025
Current Price: 1.1305
|
EUR/USD |
Weekly |
|
Trend direction |
|
|
1.2000 |
|
|
1.1800 |
|
|
1.1500 |
|
|
1.1150 |
|
|
1.1100 |
|
|
1.1050 |
Example of calculation based on weekly trend direction for 1.00 Lot1
|
EUR/USD |
||||||
|
Pivot Points |
||||||
|
Profit or loss in $ |
6,950 |
4,950 |
1,950 |
-1,550 |
-2,050 |
-2,550 |
|
Profit or loss in €² |
6,136 |
4,371 |
1,722 |
-1,369 |
-1,810 |
-2,252 |
|
Profit or loss in £² |
5,205 |
3,707 |
1,461 |
-1,161 |
-1,535 |
-1,910 |
|
Profit or loss in C$² |
9,602 |
6,839 |
2,694 |
-2,141 |
-2,832 |
-3,523 |
- 1.00 lot is equivalent of 100.000 units
- Calculations for exchange rate used as of 11:00 (GMT+1) 06/05/2025
There is a possibility to use Stop-Loss and Take-Profit.
- You may wish to consider closing your position in profit, even if it is lower than suggested one.
- Trailing stop technique could protect the profit.