The origins of German business pessimism can be seen in the dramatic slowdown in China and the trade wars unleashed by Trump as US president. In addition, pessimism in business circles is caused by the forced search for alternative energy sources.

This indicator correlates quite closely with the #eurusd dynamics, and the heavy recovery is precisely what we are seeing in the most traded currency pair. Looking at the situation from the perspective of its impact on EURUSD, as long as the expectations component remains below the assessment of current conditions, it is worth setting up for a long-term downtrend in the pair, regardless of the indicator's recovery periods.