The euro / dollar pair is waiting for news to break out of the range

On Monday, December 6, at the end of the day, the euro closed down 0.24% to 1.1286. At the auctions in Europe, the price rose to 1.1310. The demand for risky assets was partly provoked by hypotheses in the media that the new Omicron strain is less dangerous than the delta variant. The economic calendar was empty, so the euro / dollar was trading in a limited range.

Scheduled statistics (GMT +2):

At 09:00 in the UK will be released the house price index from Halifax for November.
At 12:00 Eurozone is to publish the ZEW Economic Sentiment Index for December. Germany - ZEW Business Sentiment Index for December. Also at this time in the eurozone will be released GDP and the level of employment for Q3.
At 15:30, Canada is to publish the October Trade Balance, the US - October Trade Balance.
17:00 Canada PMI November
22:00 USA Consumer Lending December

Current situation:

At the time of writing this review, major currencies are trading in positive territory. The Japanese yen remained in the red. The euro is worth 1.1294. The fifth day has gone, as the price is within the range for November 30. The news background is poor this week. Consumer inflation reports in Germany and the US, which will be released on Friday, may increase market volatility.

Technical analysis:

The price range narrowed to 1.1273 and 1.1305. The price is hammered into a corner. The market is ready for strong fluctuations. Considering that today there is an increased demand for risky assets, a breakdown of 1.1305 is expected, followed by growth to 1.1345 (67 grams). Growth is constrained by some cross-pairs in which the euro is sold. If buyers fail to gain a foothold above 1.1310 before the American session, then the flat will continue. Only in this case, the probability of the price dropping under 1.1265 sharply increases.

Summary:

On Monday, the euro closed slightly in the red. The economic calendar was empty, so the market experienced low volatility. On Tuesday, there is an increased demand for risky assets. The Omicron strain is running with relatively mild symptoms, allaying fears about the potential economic impact of the strain and boosting investor confidence. If the positive background persists, the euro / dollar e pair is expected to rise to 1.1345.