Recently the economy of the Euro area has gone from strength to strength and it is expected to continue to do so, according to the most of the analysts.
The main event of the week ahead is the ECB Council Meeting, on January 25. The big question is whether President Draghi will attempt to dial back market expectations around an actual shift in interest rate policy. Ahead of the ECB meeting, we have the preliminary Eurozone 'flash' PMI surveys on Wednesday. Manufacturing reached a survey history high of 60.6 in December and is forecast to moderate to 60.3 in January.
According to the technical analysis, the EUR/USD currency pair might go up to 1.2400 for the next period. The Gross Domestic Product Annualized released by the US Bureau of Economic Analysis might remain unchanged or might be on a slight rise (+3.3 expectation; +3.2% previous).