Correlation between the euro and gold | 15 May 2020

EURUSD trading plan:

We are expecting an uptrend to develop. The bullish rally in the commodity market will have a positive impact on the value of the European currency. Gold prices rose to their highest in over two weeks after new data showed that over a quarter of the U.S. has become unemployed since the Covid-19 pandemic struck. The data helped reinforce expectations if not of negative interest rates next year, then at least of a prolonged period of economic weakness. The risks of a sustained period of modest deflation are now significant. This is a positive signal for gold!

Trading recommendation: Buy 1.0800 and take profit 1.0880.