The UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang have recently commented on the risks of the EUR/USD exchange rate. They note that there is a risk of a deeper retracement below the 1.0655 level in the near term.
In terms of a 24-hour view, the strategists suggest that while the EUR has already rebounded from a low of 1.0653, the recovery did not gain much traction. As such, they believe that the risk still appears to be tilted to the downside and that the EUR could drop below 1.0655 again, although it is unlikely to challenge the major support at 1.0615. They also note that any resistance is currently at 1.0715, followed by 1.0730.
Looking ahead to the next 1-3 weeks, the strategists maintain their previous view (16 Feb, spot at 1.0690) that downward momentum is building again. They suggest that the chance of a sustained decline will increase as long as the EUR does not move above 1.0760 within the next couple of days. If the EUR does break below 1.0655, they believe that the focus will shift to 1.0615, followed by 1.0535.
In conclusion, the UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang have suggested that there is a risk of a deeper retracement below the 1.0655 level in the near term. They note that the risk still appears to be tilted to the downside, although the EUR is unlikely to challenge the major support at 1.0615. Looking ahead, they believe that the chance of a sustained decline will increase as long as the EUR does not move above 1.0760 within the next couple of days. If the EUR does break below 1.0655, they suggest that the focus will shift to 1.0615, followed by 1.0535.
The UOB Group’s strategists suggest that the EUR/USD exchange rate is currently at risk of a deeper retracement. This means that the value of the EUR could drop below the 1.0655 level in the near future. This could be due to a number of factors, such as the current downward momentum building up, or the EUR not moving above 1.0760 within the next couple of days.
In terms of a 24-hour view, the strategists believe that while the EUR has already rebounded from a low of 1.0653, the recovery did not gain much traction. This means that the risk still appears to be tilted to the downside and that the EUR could drop below 1.0655 again, although it is unlikely to challenge the major support at 1.0615. They also note that any resistance is currently at 1.0715, followed by 1.0730.
Looking ahead to the next 1-3 weeks, the strategists maintain their previous view (16 Feb, spot at 1.0690) that downward momentum is building again. They suggest that the chance of a sustained decline will increase as long as the EUR does not move above 1.0760 within the next couple of days. If the EUR does break below 1.0655, they believe that the focus will shift to 1.0615, followed by 1.0535.
The strategists from the UOB Group suggest that investors should be aware of the risks of the EUR/USD exchange rate dropping below the 1.0655 level in the near future. They suggest that any resistance is currently at 1.0715, followed by 1.0730, and that the chance of a sustained decline will increase as long as the EUR does not move above 1.0760 within the next couple of days. If the EUR does break below 1.0655, they believe that the focus will shift to 1.0615, followed by 1.0535.
Overall, the UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang have suggested that there is a risk of a deeper retracement below the 1.0655 level in the near term. They note that the risk still appears to be tilted to the downside, although the EUR is unlikely to challenge the major support at 1.0615. They suggest that any resistance is currently at 1.0715, followed by 1.0730, and that the chance of a sustained decline will increase as long as the EUR does not move above 1.0760 within the next couple of days. If the EUR does break below 1.0655, they believe that the focus will shift to 1.0615, followed by 1.0535. As such, investors should be aware of the risks of the EUR/USD exchange rate dropping below the 1.0655 level in the near future.
