Above 1.0840, EUR decline set to end – UOB Group

Euro (EUR) is likely to trade in a range, probably between 1.0790 and 1.0830. Should EUR break above 1.0840, it would signal the end of the decline that started early this month, UOB Group’s FX analysts Quek Ser Leang and Lee Sue Ann note.

EUR can break above 1.0840

24-HOUR VIEW: “We highlighted yesterday that EUR ‘is under mild downward pressure.’ We also highlighted that it ‘is likely to drift lower, but any decline is unlikely to break the support at 1.0760, and there is another support level at 1.0775.’ EUR declined less than expected, as it rebounded from a low of 1.0780. Downward pressure has faded, and today, EUR is likely to trade in a range, probably between 1.0790 and 1.0830.”

1-3 WEEKS VIEW: “We continue to hold the same view as last Friday (25 Oct, spot at 1.0825). As highlighted, should EUR break above 1.0840, it would signal the end of the decline that started early this month. Until then, there is still a chance for EUR to decline further. That said, there is a pair of strong support levels at 1.0760 and 1.0740.”