EUR/USD keeps its neutral stance – UOB

In opinion of analysts at UOB Group, the near-term perspective for EUR/USD remains tilted toward the neutral side.

Key Quotes

“In line with expectation, EUR advanced further but the upmove was thwarted by the 1.1230 resistance (high of 1.1219). The rapid pull-back from the top suggests that the recent upward pressure has eased. The current movement is deemed as part of a consolidation phase and sideway trading is likely from here”.

“We turned neutral yesterday and there is no change to the view. We continue to expect EUR to trade sideways, likely between 1.1100 and 1.1270 in the next one week or so”.

“Looking further ahead, the downside appears be more vulnerable but even if EUR were to break below 1.1100, there are solid supports at 1.1070 and 1.1055”.