Important events today:

US: Treasury auctions.

The main event of the week will be the US Fed meeting – on Wednesday the US Central Bank will announce its interest rate decision and plans for the near future. Before the Fed meeting I expect the continuation of the downtrend of the USD index and respectively the rise of the European currency.

Annual inflation expectations in the U.S. have fallen to 3.9%, which is the lowest since April 2021. Inflation expectations are gradually decreasing and this trend will gain momentum in the first half of this year as the US Federal Reserve reduces the money supply, which in turn is the fuel for inflation. Investors understand this trend and will be looking to sell the dollar on corrections, which is good for the EURUSD.

Recommendations: Buy 1.0837/1.0800 and TP 1.0930.