EUR/USD may see further softness on a break under 1.0650 – Scotiabank

EUR/USD trades little changed in a tight range. Economists at Scotiabank analyze the pair’s outlook.

Technical undertone is weak

EUR/USD is consolidating but there is little positive to say about short-term trends on the face of it. 

The pair remains below 1.07 and the market is carving out a bear wedge on the intraday chart which points to more losses ahead. 

A break under 1.0650 may see further softness in price action develop. 

Resistance is 1.07.

See – EUR/USD: Outside risk to the 1.04/1.05 area on a break below 1.0610/1.0630 support – ING