EUR/USD: Upside momentum looks mitigated – UOB

In the opinion of Economist Lee Sue Ann and Markets Strategist Quek Ser Leang, the upside bias in EUR/USD sems to have lost some traction as of late.

Key Quotes

24-hour view: “Yesterday, we held the view that EUR ‘is likely to edge lower but it is unlikely to break the major support at 1.0920. EUR weakened less than expected as it dipped to 1.0940 and then rebounded to end the day at 1.0999 (+0.22%). Downward pressure has eased and EUR is unlikely to weaken further. Today, EUR is more likely to trade in a range, expected to be between 1.0960 and 1.1040.”

Next 1-3 weeks: “There is not much to add to our update from yesterday (02 May, spot at 1.0975). As highlighted, the recent buildup in upward momentum has more or less faded and EUR is likely to trade in a range of 1.0920/1.1040 for now.”