In opinion of FX Strategists at UOB Group, EUR/USD is forecast to keep trading between 1.1750 and 1.1860 for the time being.
Key Quotes
24-hour view: “Our expectation for EUR to ‘trade in a quiet manner within a 1.1750/1.1800 range’ yesterday was incorrect as it dipped to 1.1768 before rising quickly to 1.1840 during NY hours. The rapid rise appears to have room to extend but any advance is unlikely to challenge the major resistance at 1.1860 (minor resistance is at 1.1840). Support is at 1.1800 followed by 1.1780.”
Next 1-3 weeks: “Our update from yesterday (27 Jul, spot at 1.1800) still stands. As highlighted, the recent mild downward pressure has eased and EUR has moved into a consolidation phase. From here, EUR is likely to trade within a 1.1750/1.1860 range for a period of time. Shorter-term upward momentum has improved a tad but at this stage, the chance for EUR to move clearly above the top of the expected range at 1.1860 is not high.”
