After the expected gains, investors can turn to assess the economic performance of Europe and America in the coming period.
For four consecutive trading sessions, the EUR / USD currency pair was exposed to limited sell operations which pushed it towards the 1.2130 support before settling around the 1.2185 level at the start of the last week of negotiation of the year. Recent gains have pushed it towards 1.2272 resistance, its highest since April 2018. This came amid the collapse of the USD as investors took risks after the coronavirus vaccines and their distribution. However, new strains of the virus have emerged that spread faster, causing more restrictions to contain the pandemic, especially with the addition of the seasonal winter flu, whose symptoms are similar to those of the coronavirus. This allowed the safe haven dollar to make gains until the wave was declared contained.
Germany, Hungary and Slovakia began supplying the first coronavirus vaccine earlier this week, just hours after receiving their first shipments, disrupting plans for the European Union to coordinate its deployment Sunday in the 27 EU Member States. In this regard, the German news agency DPA reported that the first person to be immunized with the Pfizer-Bio-Tech vaccine was Edith Quesala at 101 years old.
The first shipments of the vaccine arrived at hospitals across the European Union in very cold containers on Friday evening after being shipped from a manufacturing center in Belgium just before Christmas. For her part, the President of the European Commission, Ursula von der Leyen, released a video clip to celebrate the launch of the vaccine in the bloc which comprises nearly 450 million people, describing it as a “touching moment of unity” .
“Today we are starting to turn the page in a difficult year. The COVID-19 vaccine has been delivered to all countries in the European Union. She added that vaccinations would start tomorrow across the European Union.
The launch marks a moment of hope for a region that includes some of the world’s oldest and most dangerous areas affected by the virus – Italy and Spain – and others like the Czech Republic, which does were avoided early only to see health systems close to their breaking point. in autumn. In total, European Union countries have recorded at least 16 million coronavirus infections and more than 336,000 deaths – huge numbers that experts say still underestimate the true losses from the pandemic due to cases missed and limited testing.
However, the vaccine launch helps the bloc project feel alone on a complex mission to save lives after facing a year of difficulties negotiating a post-Brexit trade deal. It also relieves European Union politicians who were frustrated after Britain, Canada and the United States began vaccination programs earlier this month with the same German vaccines developed.
Technical analysis of the pair:
From now on, and depending on the performance of the daily chart, the EUR / USD currency pair may continue to rise if held above the psychological resistance of 1.2000. A break of resistance at 1.2200 has always motivated the bulls to do more. After the expected gains, the closest of which currently are 1.2235, 1.2340 and 1.2400 respectively, investors can turn to assess the economic performance of Europe and America in the coming period. On the downside, bears will not be in control without breaking through the 1.2000 support. It should be considered that currency market movements this week may not be stable due to low liquidity and the reluctance of investors to trade until the markets return to their full nature.