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10 Sep 2015
EUR/USD forecast: focus on risk trends – Commerzbank and OCBC
FXStreet (Edinburgh) - EUR/USD has regained the 1.1200 handle overnight and is looking to consolidate the trade above it, all amidst empty docket in Europe.
Karen Jones, Head of FICC Technical Analysis at Commerzbank, argued the pair’s “near term rebound off the 55 day ma at 1.1094 has been minor and remains capped by the 20 day ma at 1.1232 leaving risks remain on the downside. Our attention remains on the base of the cloud circa 1.1000. This guards the base of the channel at 1.0911. Near term rallies should now struggle and ideally be contained by 1.1260, 1.1332”.
Furthermore, FX Strategist at OCBC Bank Emmanuel Ng suggested “Expect the first road block for the EUR-USD at the 200-day MA (1.1260) with the pair still seen torn between behaving as a funding currency on the one hand and as a counterpart to dollar dynamics on the other. Near term, the pair may anchor itself around the vicinity of 1.1200 with our inclination to fade excessive rallies”.
Karen Jones, Head of FICC Technical Analysis at Commerzbank, argued the pair’s “near term rebound off the 55 day ma at 1.1094 has been minor and remains capped by the 20 day ma at 1.1232 leaving risks remain on the downside. Our attention remains on the base of the cloud circa 1.1000. This guards the base of the channel at 1.0911. Near term rallies should now struggle and ideally be contained by 1.1260, 1.1332”.
Furthermore, FX Strategist at OCBC Bank Emmanuel Ng suggested “Expect the first road block for the EUR-USD at the 200-day MA (1.1260) with the pair still seen torn between behaving as a funding currency on the one hand and as a counterpart to dollar dynamics on the other. Near term, the pair may anchor itself around the vicinity of 1.1200 with our inclination to fade excessive rallies”.