9 Mar 2015
What’s in store for EUR/USD today? – Commerzbank and OCBC Bank
FXStreet (Edinburgh) - EUR/USD remains flat around the mid-1.08s on Monday amidst a mixed sentiment around the greenback following the solid prints from February’s Payrolls.
“The ECB’s QE program commences today and apart from prevailing broad dollar strength, look also to Greek-related headlines amid the Eurogroup finance ministers meeting today and the EU finance ministers meeting tomorrow. In addition, scattered reports over the weekend indicating the potential for a Greek government referendum may keep the EUR nervous. In the interim, with the stark violation of 1.1000, expect the pair to remain inherently heavy in the near term with 1.0800 likely to offer interim support”, suggested Emmanuel Ng, FX Strategist at OCBC Bank.
In addition, Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted the pair “collapsed lower on Friday post strong payroll numbers and has already virtually reached 1.0835, the 50% retracement of the entire move up from 1985. We await a close below here to signal s a renewed downside thrust towards the base of the 30 year channel at 1.0573”.
“The ECB’s QE program commences today and apart from prevailing broad dollar strength, look also to Greek-related headlines amid the Eurogroup finance ministers meeting today and the EU finance ministers meeting tomorrow. In addition, scattered reports over the weekend indicating the potential for a Greek government referendum may keep the EUR nervous. In the interim, with the stark violation of 1.1000, expect the pair to remain inherently heavy in the near term with 1.0800 likely to offer interim support”, suggested Emmanuel Ng, FX Strategist at OCBC Bank.
In addition, Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted the pair “collapsed lower on Friday post strong payroll numbers and has already virtually reached 1.0835, the 50% retracement of the entire move up from 1985. We await a close below here to signal s a renewed downside thrust towards the base of the 30 year channel at 1.0573”.