EUR/USD further choppiness lies ahead – UOB

According to FX Strategists at UOB Group, the pair is expected to extend the erratic performance in the next weeks.

Key Quotes

24-hour view: “EUR trade mostly sideways last Friday and opened early this morning largely unchanged. Indicators are mostly flat which suggest further range trading, likely between 1.2295 and 1.2340”.

Next 1-3 weeks: “The recent erratic price action has resulted in a mixed outlook. Indicators are mostly ‘flat’ and at this stage, there is no early indication that EUR is ready to embark on a sustained directional move. In other words, the month-long neutral phase is intact and we expect EUR to continue to trade choppily within a broad 1.2235/1.2475 range. Looking further out, 1.2235 is acting as a solid support and a break of this level would increase the odds for a move below the March’s low of 1.2153”.