EUR/USD faces some near-term consolidation – UOB

EUR/USD is now seen navigating the 0.9630-0.9950 range in the next weeks, suggest FX Strategists at UOB Group Lee Sue Ann and Quek Ser Leang.

Key Quotes

24-hour view: “Last Friday, we held the view that EUR ‘is likely to advance to 0.9880 before a pullback is likely’. Our expectations did not materialize as EUR dropped from 0.9853 to 0.9733 before rebounding to close at 0.9799 (-0.15%). The price actions appear to be part of a consolidation and EUR is likely to trade between 0.9760 and 0.9860 for today.”

Next 1-3 weeks: “We continue to hold the same view as from last Friday (30 Sep, spot at 0.9825). As highlighted, the recent EUR weakness has stabilized and EUR is likely to consolidate and trade between 0.9630 and 0.9950 for now.”