EUR/USD: No change to the range bound theme – UOB

FX Strategists at UOB Group still expect EUR/USD to trade within the 1.0950-1.1150 range for the time being.

Key Quotes

24-hour view: “We highlighted yesterday that EUR ‘could trade lower but any weakness is unlikely to challenge the major support at 1.0950’. While our view turned out to be correct as EUR dropped to 1.0959, we did not expect the subsequent sharp rebound from the low. Despite the rebound, upward momentum has not improved by much. That said, there is room for EUR to edge higher but any advance is likely limited to a test of 1.1070. Support is at 1.1005 followed by 1.0980.”

Next 1-3 weeks: “Our view from two days (21 Mar, spot at 1.1040) still stands. As highlighted, EUR appears to have moved into a consolidation phase and is likely to trade between 1.0950 and 1.1150 for now.”