In the opinion of the markets strategist Quek Ser Leang and the Group’s senior currency strategist Peter Chia UOBthe EUR/USD seems to have entered a phase of consolidation.
24 hour perspective: “Yesterday we expected the EUR to trade sideways within a 1.0840/1.0900 range. The Euro briefly rallied as high as 1.0913 before falling as low as 1.0837. Bearish momentum has improved a bit and the Euro is likely to trade with a bearish bias today. As the bearish momentum is not strong, the Euro is unlikely to challenge the main support at 1.0800 (minor support is at 1.0820). Resistance at 1.0875, a break of 1.0895 would indicate that the current slight bearish pressure has eased.”
Next 1 to 3 weeks: “Yesterday (January 30, pair at 1.0870), we highlighted that the euro seems to have entered a consolidation phase and that, for the moment, it is likely to trade between 1.0800 and 1.0930. We continue to hold the same opinion. Looking ahead, if the Euro breaks below 1.0800, it could see a pullback towards the next major support at 1.0720.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
