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Investing.com – The pair remains high around 11.14 but appears to continue to trade horizontally. In this sense, traders could expect clearer signals from the European and Moroccan central banks.
The ECB could continue to reinforce its rate hikes, pushing the euro higher. Traders could watch this week’s inflation numbers to determine which way the central bank might be headed.
For its part, the Moroccan central bank is also faced with relatively high inflation and could maintain its bullish monetary policy. This could help the Moroccan dirham maintain its value.
Technical analysis of the EUR/MAD pair
Overall, the EUR/MAD pair’s trend appears to be heading lower after two weeks with few clear developments. However, there is some volatility.
The pair finds itself between the 11.10 and 11.20 levels on the daily chart and may hold this course for now. These two levels could serve as support and resistance respectively in the absence of a strong catalyst.
Finally, note that the Investing.com technical summary for the EUR/MAD shows a “strong sell” signal in hourly data, and a “neutral” signal in daily data.