26 May 2014
What’s the sentiment around the EUR/USD today? – Commerzbank and Westpac
FXStreet (Edinburgh) - The EUR/USD is trading in a better mood at the beginning of the week, meandering around the upper band of the range around 1.3640/45.
“While below 1.3740/70 the market is directly offered, above here would delay our outlook for a deeper retracement to 1.3862 but no more than 1.3920. Intraday rallies are expected to terminate ahead of 1.3795”, noted Karen Jones, Head of FICC Technical Analysis at Commerzbank.
In the meantime, analysts at Westpac Global Strategy Group, commented “The euro’s fall is now more gradual but it should have further to run. We would look to sell into any bounces to the low 1.37s. It is hard to see the single currency mounting anything more than an episodic short squeeze until the ECB details the specifics of its policy easing package on 5 June (negative deposit rate seems the best bet at the moment)”.
“While below 1.3740/70 the market is directly offered, above here would delay our outlook for a deeper retracement to 1.3862 but no more than 1.3920. Intraday rallies are expected to terminate ahead of 1.3795”, noted Karen Jones, Head of FICC Technical Analysis at Commerzbank.
In the meantime, analysts at Westpac Global Strategy Group, commented “The euro’s fall is now more gradual but it should have further to run. We would look to sell into any bounces to the low 1.37s. It is hard to see the single currency mounting anything more than an episodic short squeeze until the ECB details the specifics of its policy easing package on 5 June (negative deposit rate seems the best bet at the moment)”.