EUR/USD: Still scope for a move to 1.0630 – UOB
|EUR/USD is still expected to attempt an advance to the 1.0630 region in the next few weeks, according to UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang.
Key Quotes
24-hour view: We noted yesterday “there does not appear to be any clear directional bias,” and we expected EUR to trade in a range between 1.0500 and 1.0600. Our view was not wrong, even though EUR traded in a narrower range than expected (1.0518/1.0574). Upward momentum is showing early signs of building. Today, EUR is likely to trade with an upward bias. In view of the mild upward pressure, any advance is unlikely to reach the major resistance at 1.0630 (there is another resistance at 1.0600). In order to maintain the momentum buildup, EUR must stay above 1.0530 (minor support is at 1.0550).
Next 1-3 weeks: Our view from last Friday (06 Oct, spot at 1.0545) still stands. As highlighted, the current price action in EUR is likely part of a rebound that could extend to 1.0630 but is unlikely to break clearly above this level. The mild upward pressure is intact as long as EUR stays above 1.0500 (‘strong support’ level previously at 1.0460).
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.