EUR/USD sticks to the neutral outlook – UOB

EUR/USD remains poised for a continuation of the sideline theme in the near term, according to FX Strategists at UOB Group.

Key Quotes

“The support indicated at 1.0630/35 held as expected as EUR rebounded quickly from an overnight low of 1.0632. The recovery appears to have scope to extend higher but 1.0705 is a strong resistance and is unlikely to yield so easily (next resistance is at 1.0730)”.

“EUR eked out a ‘fresh low’ of 1.0632 yesterday before staging another quick rebound. Downward momentum continues to ease and it is getting increasingly likely that this pair is trying to form a short-term low. That said, confirmation is only upon a move above 1.0730. Until then, another leg lower to test the major 1.0595 support could not be ruled out just yet”.