EUR is underpinned by European Central Bank (ECB) hawks, economists at Scotiabank report.

Price action leans bullish

Hawkish ECB comments are boosting market expectations that ECB policy will peak at 4% and supporting the EUR. 

A small bull flag continues to develop around EUR price action, providing support around 1.0875/80 today, with bull break out resistance at 1.0930/35. 

Friday’s peak just above 1.0970 is resistance above there ahead of 1.1090/00.

See: EUR/USD should continue to feel at ease in the area around 1.09 – Commerzbank