EUR/USD pullbacks poised to continue – UOB

In view of the research team at UOB Group, further downside pressure is expected in the pair, although strong support comes around in the mid-1.1000s.

Key Quotes

“Despite the low odds, EUR managed to break below the 1.1125/30 support last Friday and the decline is likely the start of the next down-leg of the bearish phase that started about 2 weeks ago”.

“However, 1.1050/55 is still acting as a major support (rising trend-line) and those who are short should look to take partial profit at this level (next support is at 1.1000). Stop-loss is adjusted lower to 1.1200 from 1.1230 previously”.