22 Jul 2014
What’s the sentiment around the EUR/USD today? – Commerzbank and OCBC Bank
FXStreet (Edinburgh) - The pair is confined to a narrow range at the beginning of the week, hovering over the low 1.3500s area against a backdrop of scarce volatility and lack of data releases in Euroland.
“EUR/USD has seen a slight erosion of the 2 year uptrend, this week at 1.3525. It is sitting just above the 1.3476 2014 low and beyond a small rebound we look for this to be eroded. Failure here will trigger losses to the 1.3426 200 week ma en route to the 1.3295 November 2013 low”, observed Karen Jones, Head of FICC Technical Analysis at Commerzbank.
Furthermore, FX Strategist Emmanuel Ng at OCBC Bank added, “Potential further EU sanctions on Russia may keep the EUR-USD somewhat on edge in the near term while we also note the note the Bundesbank’s cautionary comments on Germany’s 2Q GDP numbers. We continue to see inherent risks of a test towards 1.3500 ahead of 1.3475 in the interim while 1.3600 should serve as a useful resistance level for now”.
“EUR/USD has seen a slight erosion of the 2 year uptrend, this week at 1.3525. It is sitting just above the 1.3476 2014 low and beyond a small rebound we look for this to be eroded. Failure here will trigger losses to the 1.3426 200 week ma en route to the 1.3295 November 2013 low”, observed Karen Jones, Head of FICC Technical Analysis at Commerzbank.
Furthermore, FX Strategist Emmanuel Ng at OCBC Bank added, “Potential further EU sanctions on Russia may keep the EUR-USD somewhat on edge in the near term while we also note the note the Bundesbank’s cautionary comments on Germany’s 2Q GDP numbers. We continue to see inherent risks of a test towards 1.3500 ahead of 1.3475 in the interim while 1.3600 should serve as a useful resistance level for now”.