EUR/USD to enjoy a considerable gain on a break above 1.2310

The EUR/USD pair reached a fresh 2020 high of 1.2309 as speculative interest kept selling the greenback heading into the year-end. Euro/dollar hovers around 1.2300 while higher highs are still in sight, Valeria Bednarik, Chief Analyst at FXStreet, reports.

Key quotes

“News that the US Senate has delayed a decision on increasing coronavirus-relief checks added pressure on the dollar. Republican Senator Mitch McConnell blocked a move by colleague Bernie Sanders to allow a vote on increasing stimulus checks from $600 to $2,000, although Treasury Secretary Steve Mnuchin announced that direct payments of $600 would be out as soon as this week.”

“Further gains are now expected on an extension above 1.2310, with the EUR/USD pair targeting 1.2413, April 2018 monthly high.”