EUR/USD: Pullback towards 1.1300 on the cards? - TDS

Analysts at TD Securities are of the view that the EUR/USD pair is set for a pullback towards 1.1300 levels, should it breach 1.1620-1.1600 support zone.

Key Quotes:

“We think the market is irrationally keen to jump on any excuse to add to EUR longs. While we are strategic USD bears/EUR bulls, the reluctance for several USD-pairs to sustain key breaks is telling and may signal momentum is near an exhaustion point.“

“In EURUSD, key supports lie in the 1.1600/20 area; an appreciable break below this should signal a washout towards 1.13, at which point we would reassess risk/reward of renewed EUR longs."