Remarks from European Central bank officials and Italian Economy Minister Giovanni Tria over the past week have led to volatile movements on the parite side. In his speech on monetary expansion and interest rates, Mario Draghi, the Head of the European Central Bank, who first made accurate statements earlier in the week, put pressure on Euro assets to sell. In addition, the Austrian Central Bank President and ECB Board Member Ewald Nowotny, the French Central Bank President and ECB Board Member Francois Villeroy supported the withdrawal of monetary expansion in the parities of senior officials. Italy's Economy Minister Giovanni Tria met with German Chancellor Angela Merkel after the week's close after the withdrawal on the pair side and recovered with the announcement that “we are behind our commitment to stay in the Euro”. On the US side, the data from last week is complex, while Fed Chairman Jerome Powell's remarks are at the top of the agenda. Powell said the U.S. economy was performing well, but argued that the labor market would be stronger. Referring to protectionist policies, Powell declared that if commercial restrictions continue, the Fed could change its policies. In trade wars last week, the European Union announced that the United States has brought new tariffs to some products in retaliation for additional tariffs. This week, developments in trade wars and European leaders ' summit will be followed as the main agenda item. In addition, it may be important to report from countries that are troubled in the economy, such as Italy and Spain. In the economic calendar, important data such as inflation figures from Europe and US growth, Consumer Confidence, Durable Goods Orders and New Home Sales may be important in the parity volatility. Technically, if the support level is below 1.1630, the support can be followed by 1.1560, 1.1530 and 1.1510 with the continuation of the sales pressure on the pair. On the upper side, there may be reactions in favor of the euro over 1.1685.
