There has no significant shift in either downward or upward momentum; Euro (EUR) is likely to trade in a range of 1.1690/1.1750. In the longer run, EUR is likely to trade between 1.1675 and 1.1790 for the time being, UOB Group’s FX analysts Quek Ser Leang and Peter Chia note.
No significant shift in either downward or upward momentum
24-HOUR VIEW: “EUR traded in a range of 1.1712/1.1778 two days ago and then closed largely unchanged at 1.1729. Yesterday, we indicated that ‘we are not able to derive much from the price movements.’ We added, ‘we continue to expect EUR to trade in a range, most likely between 1.1700 and 1.1760.’ The subsequent price action did not quite turn out as expected. After testing the top of our expected range of 1.1760 (high was 1.1758), EUR fell sharply to 1.1681, and then quickly rebounded to close at 1.1714 (-0.13%). There has been no significant shift in either downward or upward momentum, and we continue to expect range-trading today, most likely within a range of 1.1690/1.1750.”
1-3 WEEKS VIEW: “Not much has changed since our update yesterday (02 Oct, spot at 1.1735). As highlighted, ‘we are neutral on EUR now and expect it to trade between 1.1675 and 1.1790 for the time being’.”
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