EUR/USD Weekly Special Report based on 1.00 Lot Calculation:
GERMANY AND EUROPE: POLITICAL SHIFTS AND FISCAL EXPANSION
- EVENT (SUNDAY, FEBRUARY 23, 2025): GERMANY ELECTIONS. The conservative CDU/CSU, led by Friedrich Merz, won the elections with 28.5% of the vote, forming a coalition with the SPD. The far-right AfD gained nearly 20%, becoming the second-largest party.
- UPDATE (MARCH 04, 2025): GERMANY ANNOUNCES €500 BILLION "FISCAL BAZOOKA". Germany’s new government has introduced a €500 billion stimulus package over the next decade, targeting infrastructure and defense. To fund this, the coalition has temporarily suspended the "debt brake" rule, allowing for higher public spending. The move has reinforced market confidence in the euro, as it signals a shift toward more expansionary fiscal policy in the Eurozone’s largest economy.
- UPDATE (MARCH 04, 2025): EU UNVEILS €800 BILLION DEFENSE AND RECOVERY PLAN. The European Union has announced an €800 billion plan to strengthen defense and stimulate economic growth amid rising geopolitical tensions. The initiative, dubbed "Rearm Europe," aims to boost military capabilities across member states while providing economic support to key industries. The announcement has contributed to renewed investor confidence in the Eurozone, though potential fiscal and political challenges remain.
EVENTS:
- WEDNESDAY, MARCH 12, at 12:30 GMT: U.S INFLATION (CPI) (FEBRUARY): The U.S is scheduled to report its CPI figure for the month of February. Headline Inflation is expected to come in at 2.9%, down from the previous 3%. Core Inflation is expected to come in at 3.2%, down from the previous 3.3%. The fact that lower inflation is expected could lead to a decrease in the value of the US dollar.
- WEDNESDAY, MARCH 19, AT 18:00 GMT: US FEDERAL RESERVE INTEREST RATE DECISION. 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).
EURUSD, MARCH 12, 2025
Current Price: 1.0910
|
EUR/USD |
Weekly |
|
Trend direction |
|
|
1.1250 |
|
|
1.1150 |
|
|
1.1050 |
|
|
1.0800 |
|
|
1.0750 |
|
|
1.0720 |
Example of calculation based on weekly trend direction for 1.00 Lot1
|
EUR/USD |
||||||
|
Pivot Points |
||||||
|
Profit or loss in $ |
3,400.00 |
2,400.00 |
1,400.00 |
-1,100.00 |
-1,600.00 |
-1,900.00 |
|
Profit or loss in €² |
3,115.03 |
2,198.84 |
1,282.66 |
-1,007.80 |
-1,465.90 |
-1,740.75 |
|
Profit or loss in £² |
2,627.01 |
1,854.36 |
1,081.71 |
-849.92 |
-1,236.24 |
-1,468.04 |
|
Profit or loss in C$² |
4,906.49 |
3,463.40 |
2,020.32 |
-1,587.39 |
-2,308.94 |
-2,741.86 |
1. 1.00 lot is equivalent of 100.000 units
2. Calculations for exchange rate used as of 10:30 (GMT) 12/03/2025
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.