EUR/USD still seen within 1.1865/1.2005 – UOB

According to FX Strategists at UOB Group, EUR/USD is still forecast to within the 1.1865-1.2005 range in the near term.

Key Quotes

24-hour view: “We expected EUR to trade between 1.1900 and 1.1950 yesterday. However, it dropped to 1.1876 before rebounding. Downward momentum has improved, albeit not by much. There is room for EUR to dip towards the major support at 1.1865 but a clear break of this level is unlikely. Resistance is at 1.1920 but only a break of 1.1945 would indicate that the current downward pressure has eased.”

Next 1-3 weeks: “There is not much to add to our update from Monday (28 Jun, spot at 1.1940). As highlighted, the recent weak phase has run its course and the current movement is viewed as a consolidation phase and EUR is expected to trade within a 1.1865/1.2005 range. Looking ahead, the consolidation is expected to be resolved with a fresh weak phase but EUR has to close 1.1845 before a sustained decline can be expected.”