EUR/USD keeps the range bound theme unchanged – UOB
|FX Strategists at UOB Group now see EUR/USD navigating within the 1.0990-1.1170 range for the time being.
Key Quotes
24-hour view: “We highlighted yesterday that the ‘advance in EUR could extend above 1.1190 first before easing’. EUR subsequently rose to 1.1184 before staging a surprisingly sharp decline (low has been 1.1059). While the rapid drop appears to be running ahead of itself, EUR could decline further to 1.1035. The major support at 1.0990 is unlikely to come under threat. On the upside, a breach of 1.1125 (minor resistance is at 1.1100) would indicate the current downward pressure has eased.”
Next 1-3 weeks: “Two days ago (30 Mar, spot at 1.1085) we highlighted that the risk for EUR has shifted to the upside. We added, a clear break of 1.1140 could lead to EUR strengthening to 1.1190. As EUR rose, we highlighted yesterday (31 Mar, spot at 1.1155) that ‘if EUR breaks 1.1190, the chance for further EUR strength to 1.1240 would increase’. EUR did not break 1.1190 as it rose to 1.1184 before falling sharply to a low of 1.1059. While our ‘strong support’ level at 1.1055 is not breached, upward momentum has more or less dissipated. EUR appears to have moved into a consolidation phase and is likely to trade between 1.0990 and 1.1170 for now.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.