The Euro (EUR) will likely trade with a bearish bias towards 1.0420; The next support at 1.0390 is not expected to come into play. Longer term, the EUR must break and hold below the 1.0333 low before a further decline can be expected, note UOB Group FX analysts Quek Ser Leang and Lee Sue Ann.
Next support at 1.0390 is not expected to come into play
24 HOUR VIEW: “After the EUR traded higher at the open yesterday, we indicated that ‘it could rise to 1.0520.’ However, we consider that ‘the strong resistance at 1.0560 is unlikely to be threatened.’ Our view was not incorrect, as the EUR rose to 1.0530, retreating to close at 1.0494 (+0.74%). The EUR fell in Asian trading early today, and the downward momentum appears to be increasing, albeit tentatively. Today, EUR is likely to trade with a bearish bias towards 1.0420. Next support at 1.0390 is not expected to come into play. 1.0495, followed by 1.0520.”
1-3 WEEK VIEW: “Our update from yesterday (Nov 25, pair at 1.0475) remains valid. As highlighted, although the weakness in the EUR remains intact, it should break and stay below last Friday’s low of 1.0333 before further decline can be expected. The probability of EUR breaking below 1.0333 is not high, but it will remain intact as long as 1.0560 (no change). at ‘strong resistance’) is not breached in the coming days. Looking ahead, if the EUR breaks above 1.0560, it would suggest that the weakness of late last week is over.”
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.
