23 Jan 2014
Flash: EUR/USD to reach 1.34 near term target? - Societe Generale
FXstreet.com (Barcelona) - Kit Juckes, Global Head of Currency Strategy at Societe Generale notes the recent EUR strength following today's releases in the euro area.
Key Quotes
“That’s a number that would be tailor-made for keeping EUR/USD firmly in its range, but given the current mildly bearish mood, we would get a reaction to a weaker outcome.”
“There is s skew to the short-term EUR/USD outlook, it seems, with a willingness to react to bad news that outweighs the reaction to good news. Are we going to re-visit the sub EUR/USD 1.34 levels we saw after the last ECB rate cut in November?”
“Our core EUR/USD view remains bearish over the long-term, but very wary in the shorter term, though the EURUSD simple ‘baby model’ has been pointing lower and would justify a fall to 1.34.”
Key Quotes
“That’s a number that would be tailor-made for keeping EUR/USD firmly in its range, but given the current mildly bearish mood, we would get a reaction to a weaker outcome.”
“There is s skew to the short-term EUR/USD outlook, it seems, with a willingness to react to bad news that outweighs the reaction to good news. Are we going to re-visit the sub EUR/USD 1.34 levels we saw after the last ECB rate cut in November?”
“Our core EUR/USD view remains bearish over the long-term, but very wary in the shorter term, though the EURUSD simple ‘baby model’ has been pointing lower and would justify a fall to 1.34.”