in June European Central Bank should announce the first interest rate increase. Given high inflationary pressure, especially in energy and in the food sector, we expect that central bank should decide on 0.50 b.p. interest rate increase. The next interest rate hikes may come in 3Q 2022 and in 4Q 2022. We therefore believe that EUR should strengthen in the coming weeks. Also the technical chart looks much more bullish on Euro.Resistance may come around EURUSD 1.082 level. However, if it goes through, we should target EURUSD 1.10 or higher