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20 Sep 2013
Flash: EUR/USD remains above 1.3500. Will this last? – Commerzbank and OCBC Bank
FXstreet.com (Edinburgh) -The EUR/USD alternates gains with losses at the end of the trading week, trying to consolidate recent gains above the 1.3500 handle after the massive dose of oxygen from the FOMC on Wednesday.
Emmanuel Ng, Analyst at OCBC Bank, noted “We are now slightly more optimistic on the pair in the near term although a retracement back towards the 1.3490/00 neighborhood before base building cannot be discounted. Weekend German elections and any further dovish ECB rhetoric may however cap the pair towards 1.3600”.
In addition, Karen Jones, Head of FICC Technical Analysis at Commerzbank, said the pair “has maintained its break above the 1.3453 August high and the 1.3520 February high and these now revert to support. This move higher has introduced scope for an attempt on the 1.3711 January high. A move towards and failure ahead of here remains our favoured scenario”.
Emmanuel Ng, Analyst at OCBC Bank, noted “We are now slightly more optimistic on the pair in the near term although a retracement back towards the 1.3490/00 neighborhood before base building cannot be discounted. Weekend German elections and any further dovish ECB rhetoric may however cap the pair towards 1.3600”.
In addition, Karen Jones, Head of FICC Technical Analysis at Commerzbank, said the pair “has maintained its break above the 1.3453 August high and the 1.3520 February high and these now revert to support. This move higher has introduced scope for an attempt on the 1.3711 January high. A move towards and failure ahead of here remains our favoured scenario”.