UOB Sees EUR/USD Room for Upside Toward 1.1800
According to UOB's Quek Ser Leang and Lee Sue Ann, EUR/USD has shown a constructive view after holding near 1.1680 and testing 1.1710 twice. The bank analysts expect modest easing within the 1.1645-1.1700 range on an intraday basis, but still see scope toward 1.1725 over the next few weeks. A broader technical roadmap points to 1.1800 and then 1.1850 as higher targets, provided that support at 1.1615 holds.
Last Thursday, EUR/USD rose to 1.1710 before easing to close marginally higher by 0.01% at 1.1678. When it was at 1.1685 on Friday, UOB noted that 'while upward momentum has slowed somewhat, it is too early to expect a significant pullback.' They expected EUR/USD to range-trade between 1.1655 and 1.1715.
Today, EUR/USD could ease further, but any decline should stay within the 1.1645-1.1700 range. Tracking their positive view from early last week, UOB highlighted that 'there is room for further upside in EUR toward 1.1725.' Although there has been no further increase in upward momentum, they remain positive on EUR/USD for now.