Bullish pressure appears to have eased; The Euro (EUR) could trade sideways between 1.0530 and 1.0590. Longer term, the EUR has to break and hold above 1.0610 before a further advance to 1.0650 is likely, note UOB Group FX analysts Quek Ser Leang and Lee Sue Ann.
It could trade sideways between 1.0530 and 1.0590
24 HOUR VIEW: “The EUR soared to 1.0589 last Thursday. On Friday, we highlighted that ‘strong momentum points to further EUR strength.’ However, we highlight that, ‘it remains to be seen if it can clearly break above the main resistance at 1.0610.’ Although the EUR rose more than expected to 1.0629, it quickly retreated from the high, closing 0.17% lower at 1.0568. The bullish pressure seems to have eased, and today, the EUR could trade sideways, probably between 1.0530 and 1.0530. 1.0590.”
1-3 WEEK VIEW: “After the EUR shot up to 1.0589 last Thursday, we indicated on Friday (Dec 6, spot at 1.0585) that it ‘has to break and hold above 1.0610 before a further advance to 1.0650.’ Although the EUR broke above 1.0610 during the NY trading session, it was unable to maintain its gains, retreating to close at 1.0568, down 0.17% on the day. There is still a chance for the EUR to break out and. hold above 1.0610, as long as the ‘strong support’ level of 1.0500 is not broken (unchanged from last Friday). level to watch above 1.0610 is 1.0650.”
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.
