EUR/USD still rangebound within 1.0500/1.0680 – UOB

FX Strategists at UOB Group expect EUR/USD to keep navigating within the 1.0500/1.0680 range.

Key Quotes

“We noted yesterday that “the rapid pull-back has resulted in a slight negative undertone” and the relatively weak daily closing suggests that the downward pressure has increased further”.

“That said, 1.0500 is a rather strong support and only a ‘sharp and rapid’ break below this level would indicate that EUR has entered a bearish phase. From here, the downward pressure would continue to build unless EUR can reclaim 1.0630. On a shorter-term note, 1.0590 is already a very strong resistance”.