The Dollar Is Ready for a Fed Surprise. Forecast as of 28.07.2026

De-escalation is underway in the Middle East, but the market is not yet pricing in a complete end to the conflict. Combined with growing uncertainty over the Fed's upcoming rate decision, this is supporting the US dollar. Let's discuss this topic and make a trading plan for EUR/USD. Major Takeaways The probability of a Fed rate hike in July is increasing. Investors are not rushing back to the TACO trade. The market is buying the US dollar on speculation. A break below 1.137 will be a signal