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EUR/USD: Downside risks are here – OCBC

The Euro (EUR) continued to trade with a heavy bias, in response to US elections outcome. Pair was last seen at 1.0762 levels, OCBC’ FX analysts Frances Cheung and Christopher Wong note.

Risks skewed to the downside

“Threat of Trump tariff on all imports by up to 20% can hurt EUR as US was the largest partner for EU exports of goods in 2023. There are also concerns if Trump may interfere with support for European security. Momentum turned flat while RSI fell. Risks skewed to the downside.”

“Next support at 1.0660/70 levels. Resistance at 1.0740 (76.4% fibo), 1.0830 (61.8% fibo retracement of 2024 low to high).”

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