Analysts at Amplifying Global FX Capital explain that EUR is now above its average since the ECB first implemented QE policy in January 2015 at around 1.10 and it might seem now on its way to test the high side of this range at 1.15.
“In December last year, EUR briefly broke to a new low. However, it has since established itself above the key 1.05 level.”
“Against the JPY, EUR has broken above its highs around the turn of the year. However, it is still well below its levels from 2013 to 2015. While the Eurozone is making significant progress towards reaching its inflation target goals, and the end of its QE policy is coming into view, the same cannot be said for Japan. It is conceivable that EUR/JPY will continue to rise, notwithstanding its recent sharp rally since the French election, to levels around which it traded when ECB QE policy was first implemented in 2015 (around 135).”