EUR/USD: Has a chance to rise towards 1.0885

The Euro (EUR) is expected to trade in a range between 1.0790 and 1.0840. In the longer run, month-long decline has come to an end; EUR is expected to trade in a 1.0760/1.0885 range for the time being, UOB Group’s FX analysts Quek Ser Leang and Lee Sue Ann note.

Rangebound between 1.0790 and 1.0840

24-HOUR VIEW: “Yesterday, we expected EUR to ‘trade in a range, probably between 1.0790 and 1.0830.’ Our view was incorrect, as EUR fell sharply but briefly to 1.0768, rebounding to close largely unchanged at 1.0818 (+0.06%). The brief drop did not result in an increase in momentum. Today, we continue to expect EUR to trade in a range, likely between 1.0790 and 1.0840.”

1-3 WEEKS VIEW: “We turned negative in EUR early this month (see annotations in the chart below). As we tracked the decline, in our most recent narrative from last Friday (25 Oct, spot at 1.0825), we highlighted that ‘should EUR break above 1.0840, it would signal the end of the decline that started early this month.’ Yesterday, EUR dipped to 1.0768, then rebounded to a high of 1.0826. Although our ‘strong resistance’ level at 1.0840 has not been breached yet, downward momentum has largely faded. In other words, the month-long decline has come to an end. The current price movements are likely part of a range trading phase, and EUR is expected to trade between 1.0760 and 1.0885 for the time being.”

Share: Feed news

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.