According to economist Lee Sue Ann and market strategist Quek Ser Leang of UOB group, the EUR/USD risks falling to the 1.0615 level in the coming weeks.
24 hour perspective: “Yesterday we held the view that the EUR appeared to have entered a consolidation phase and was likely to trade between 1.0680 and 1.0780. Our view on consolidation was not wrong, but the Euro traded in a tighter range than expected (1.0708/1.0760) The underlying tone has softened a bit. Although the Euro is likely to fall today, it is unlikely to break 1.0665 (minor support is at 1.0690). To the upside, breaking above 1.0760 (minor resistance is at 1.0740) would indicate that the current slight bearish pressure has eased.”
Next 1-3 weeks: “Our analysis from two days ago (07 Feb, pair at 1.0725) still stands. As we have highlighted, the Euro is likely to continue to weaken, but near-term oversold conditions could slow the pace of any further decline. He next level to watch is at 1.0615. Downside risk in the euro is intact as long as it does not break above 1.0810 (strong resistance level was yesterday at 1.0850).”
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.
