EUR/USD keeps its consolidation well in place – UOB

According to FX Strategists at UOB Group Lee Sue Ann and Quek Ser Leang, EUR/USD remains within a consolidative theme for the time being.

Key Quotes

24-hour view: “Yesterday, we expected EUR to ‘consolidate and trade between 0.9760 and 0.9860’. EUR subsequently traded within a narrower and slightly lower range of 0.9751/0.9844. The underlying tone for EUR has firmed somewhat, but while it could edge higher today, any advance is likely limited to a test of 0.9875. The next resistance at 0.9910 is unlikely to come under challenge. Support is at 0.9785 but only a breach of 0.9755 would indicate that the current mild upward pressure has eased.”

Next 1-3 weeks: “We continue to hold the same view as from last Friday (30 Sep, spot at 0.9825). As highlighted, the recent EUR weakness has stabilized and EUR is likely to consolidate and trade between 0.9630 and 0.9950 for now.”