When Will EUR/USD Reach Parity?

EUR/USD traded at 1.0000 last time on December 6, 2002 — almost 13 years ago. The highest price it has traded at since then was 1.6037 in June 2008. After that, it was a way down with three correctional upswings if you look at the currency pair on monthly chart:

For someone, who did not trade or monitor Forex before the year 2003, the idea of EUR/USD parity (one US dollar trading for one euro) might seem strange and unusual. In reality, that is not a big deal. During several years, the eurozone’s currency traded at or near parity level against the greenback.
Although my forecast for EUR/USD in 2015 was pointing at 1.1000 level as the optimistic end-of-year rate, the SNB shock has caused the pair to accelerate its decline significantly. As a result, I see EUR/USD reaching 1.0000 as a probable event this year.

It took about four month for the pair to go down from 1.3000 to 1.1500. If the fall continues at the same pace, we will see 1.0000 in another 4 months or so (May or June). What do you think of such an outlook?

When will EUR/USD reach parity?

 Loading …

If you want to explain why do you believe that euro/dollar parity will be reach or why it will not be reached this year, please feel free to do so using the commentary form below.