EUR/USD: Euro is kept afloat by expectations

The pair EUR/USD is traded upward on Monday morning compared withFriday, however in the red of the day.

By 9.35 Moscow time the Euro is at 1.3409against closing level of 1.3403 on Friday.

The pair is above closing level of Friday dueto the news that Italian government has approved package of measures toconsolidate budget and stimulate economic growth. On Monday the package ofmeasures will be presented to the Parliament.

In addition, the Euro is afloat due to theexpectations of the EU summit scheduled for this week; it is assumed thatEuropean leaders will report on new measures to overcome crisis in Europe.

Therefore, preservation of EUR/USD above 1.34is based on expectations.

Most likely the pair EUR/USD will not gobeyond the range of 1.3370-1.3480 at the trading session on Monday.