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30 Jul 2014
What’s the sentiment around the EUR/USD today? – Commerzbank and OCBC Bank
FXStreet (Edinburgh) - The EUR/USD keeps meandering multi-month levels around 1.3400 the figure on Wednesday while market participants wait for German data ahead of the FOMC meeting.
“EZ Jul confidence indicators are due later today but primary motivation for the pair may stem ultimately from news flow surrounding the FOMC late in the global day. Widening US-Bund spreads may continue to keep the pair heavy with the 1.3400 support looking increasingly tenuous”, observed Emmanuel Ng, FX Strategist at OCBC Bank.
On the other hand, Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted, “We note the indicators are in oversold territory and cannot rule out a small rebound near term. Only above 1.3550 would delay our immediate negative outlook for a deeper retracement to 1.3665/1.3700, while capped here a negative bias remain intact”.
“EZ Jul confidence indicators are due later today but primary motivation for the pair may stem ultimately from news flow surrounding the FOMC late in the global day. Widening US-Bund spreads may continue to keep the pair heavy with the 1.3400 support looking increasingly tenuous”, observed Emmanuel Ng, FX Strategist at OCBC Bank.
On the other hand, Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted, “We note the indicators are in oversold territory and cannot rule out a small rebound near term. Only above 1.3550 would delay our immediate negative outlook for a deeper retracement to 1.3665/1.3700, while capped here a negative bias remain intact”.