The research team at UOB Group suggested EUR/USD needs to clear 1.1300 on a closing basis in order to open the door for further upside in the near term.

Key Quotes

“The anticipated extension higher to 1.1295/00 did not materialize as EUR eased off quickly after touching a high of 1.1265/70. The undertone is still slightly positive and another attempt towards 1.1265/70 appears likely but the next resistance at 1.1295/00 is unlikely to come under threat”.

“As highlighted yesterday, despite the improved undertone, EUR has to move clearly above the major 1.1300 resistance before a sustained up-move can be expected. Overall, EUR is expected to stay underpinned in the next few days as long as the solid support at 1.1150 is not taken out”.