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9 Apr 2015
EUR/USD could face continued downward pressure - BTMU
FXStreet (Guatemala) - Strategists at The Bank of Tokyo Mitsubishi UFJ explained that the euro is continuing to consolidate at lower levels against the US dollar in the near-term.
Key Quotes:
"We continue to believe that the next move for the pair will be lower which has been reinforced by its’ second unsuccessful attempt to sustain a break above the 1.1000-level."
"The economic data from the US has been very disappointing at the start of this year, which has likely now reached a crescendo following the release of the disappointing March payrolls report, yet the negative impact on the US dollar has been limited."
"With evidence emerging that the US economy is likely rebounding now it is likely to add to downward pressure on EUR/USD."
"The release of the latest US retail sales report for March will be in focus in the week ahead alongside a number of Fed speakers. In Europe, the main event in the week ahead will be the upcoming ECB monetary policy meeting."
"The ECB is likely to acknowledge further encouraging evidence that economic growth in the euro-zone is continuing to strengthen."
"The ECB is also likely to reiterate that they remain committed to easing monetary policy aggressively at least until the end of September 2016 to help support the economic recovery, which should remain a heavy weight on the euro."
Key Quotes:
"We continue to believe that the next move for the pair will be lower which has been reinforced by its’ second unsuccessful attempt to sustain a break above the 1.1000-level."
"The economic data from the US has been very disappointing at the start of this year, which has likely now reached a crescendo following the release of the disappointing March payrolls report, yet the negative impact on the US dollar has been limited."
"With evidence emerging that the US economy is likely rebounding now it is likely to add to downward pressure on EUR/USD."
"The release of the latest US retail sales report for March will be in focus in the week ahead alongside a number of Fed speakers. In Europe, the main event in the week ahead will be the upcoming ECB monetary policy meeting."
"The ECB is likely to acknowledge further encouraging evidence that economic growth in the euro-zone is continuing to strengthen."
"The ECB is also likely to reiterate that they remain committed to easing monetary policy aggressively at least until the end of September 2016 to help support the economic recovery, which should remain a heavy weight on the euro."