EUR/USD could slip towards 1.04 in 3-m – Danske Bank

According to Tomas Rosenlund, Analyst at Danske Bank, there is scope for a test of the 1.04 area in the next three months.

Key Quotes

“The FOMC minutes left FX markets with little to trade on: the December hike was ‘confirmed’ yet little new information on the 2017 outlook was given”.

“EUR/USD was little changed on the release on a day where the USD rally took another leg higher after the latest ‘breather’.

“We still see risks skewed towards a lower EUR/USD going into year-end where the economic and relative policy outlook favours a short position. We forecast EUR/USD at 1.04 in 3M”.