If you don't expect EUR/USD, which has traded in tight ranges for years, to do much you may make more money.

EUR/USD hasn't done much for a long time despite much speculation to the contrary, and the pair may well continue trading on well trodden ground while traders flip from one position to another with little success.

Since the start of 2023 EUR/USD has traded 1.0448-1.1276 with its range narrowing to 1.0601-1.1214 this year.

The range traded last year was the second smallest on record and it has continued to quieten.

While this has suppressed the will to gamble it has not stopped it and like most gamblers, many of those speculating on the direction of EUR/USD have lost.

The liquidation of bets on EUR/USD rising fuelled the slide to this year's low, a tumble at the end of June and the current plunge from this year's high at 1.1214 which traded in September.

Traders who shorted the euro had pared bets around the time of the U.S. election, but may be encouraged to sell again by speculation about a damaging trade war or political instability in Germany.

While both could and probably will weigh on the euro and inspire short selling, neither may lead to a break from well established ranges.
Should a situation arise that does trigger a break out, then hedges must be adjusted.
But until that occurs, it's wise to anticipate another failed gamble where those who are excited by the long odds lose again.

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