EUR/USD sticks to the consolidation theme – UOB

EUR/USD is still seen within the 1.1680-1.1820 range in the next weeks, noted FX Strategists at UOB Group.

Key Quotes

24-hour view: “Our expectation for EUR to edge higher within a 1.1730/1.1800 range did not materialize as it traded in a quiet manner between 1.1730 and 1.1781 before closing largely unchanged at 1.1758 (-0.02%). Momentum indicators are mostly ‘neutral’ and EUR could continue to consolidate for now, expected to be within a 1.1735/1.1795 range.”

Next 1-3 weeks: “EUR traded in a quiet manner for the past couple of days and there is not much to add to our update from Wednesday (07 Oct, spot at 1.1735). As highlighted, EUR is in a consolidation phase and is likely to trade between 1.1640 and 1.1820. In view of the decrease in volatility, a 1.1680/1.1820 range could be enough to contain the price action in EUR, at least for a couple more days. Looking forward, EUR has to close below 1.1680 or above 1.1820 before a more sustained movement can be expected.”