UOB economists Quek Ser Leang Lee and Sue Ann spotlight that EUR/USD spiked to 1.1848 earlier than reversing sharply, leaving the Euro wanting overextended on the draw back. They see scope for additional weak point however expects agency help at 1.1715, with 1.1665 unlikely to be examined. Over the subsequent one to a few weeks, EUR/USD is projected to commerce between 1.1665 and 1.1840.
Euro-Greenback draw back seen restricted
“Final Friday, we anticipated EUR to “consolidate between 1.1760 and 1.1805.” We have been incorrect, as EUR soared to 1.1848 after which reversed sharply, plummeting to a low of 1.1760. EUR closed at 1.1762 (-0.16%) however opened with a niche decrease right now.”
“Whereas there may be scope for EUR to weaken additional, the sharp drop seems to be overextended, and any decline is anticipated to face agency help at 1.1715. We don’t anticipate the most important help at 1.1665 to come into sight. Resistance ranges are at 1.1775 and 1.1800.”
“Though our ‘sturdy help’ degree at 1.1735 has not been breached but, the value actions counsel that 1.1850 is out of attain and EUR is more likely to commerce in a variety in the intervening time, in all probability between 1.1665 and 1.1840.”
(This text was created with the assistance of an Synthetic Intelligence instrument and reviewed by an editor.)
