EUR/USD room for an extension to 1.1150 – UOB

The pair keeps the neutral bias in the near term, leaving the door open for a  test of the mid-1.1100s in the near term, suggested FX Strategists at UOB Group.

Key Quotes

“EUR touched a high of 1.1219 yesterday but the up-move was quickly reversed. The sharp pullback from the top appears incomplete and further weakness is expected from here. That said, 1.1150 is a solid support and is unlikely to yield so easily (minor support is at 1.1165). Resistance is at 1.1200 and the high near 1.1220 is unlikely to be challenged, at least not for today”.

“EUR eased off quickly after touching a high of 1.1219 yesterday. The immediate outlook remains mixed and the current neutral phase has been intact for close to one month now. At this stage, there is no early indication that this pair is about to embark on a sustained directional move. However, a break out of the expected 1.1120/1.1220 consolidation range should provide additional clue”.