12 Jan 2016
EUR/USD sideways range 1.0810/05 expected - UOB
FXStreet (Guatemala) - Instead of extending higher, EUR topped out at 1.0968. The current movement is likely part of a broader consolidation phase and sideway trading is likely. Expected range; 1.0810/1.0905.
Key Quotes:
"The sharp drop suggests that the 1.0968 high could be the extent of the corrective rebound in EUR (1.0990/95 resistance not tested).
However, the short-term weakness is viewed as part of a broader consolidation range and the downside risk appears to be limited. To put it another way, there is no change to the current neutral outlook for this pair."
Key Quotes:
"The sharp drop suggests that the 1.0968 high could be the extent of the corrective rebound in EUR (1.0990/95 resistance not tested).
However, the short-term weakness is viewed as part of a broader consolidation range and the downside risk appears to be limited. To put it another way, there is no change to the current neutral outlook for this pair."