EUR/USD sticks to the consolidative mood – UOB

In opinion of FX Strategists at UOB Group, EUR/USD is now expected to move within the 1.2080-1.2250 range in the next weeks.

Key Quotes

24-hour view: “Last Friday, we held the view that ‘the rebound in EUR has scope to extend to 1.2195’. Our expectations did not materialize as EUR traded in a relatively quiet manner between 1.2150 and 1.2189 before closing little changed at 1.2167 (+0.04%). The underlying tone still appears to be positive and EUR could test the 1.2195 resistance. The next resistance at 1.2225 is not expected to come into the picture. Support is at 1.2145 followed 1.2125.”

Next 1-3 weeks: “There is not much to add to our update from last Friday (22 Jan, spot at 1.2165). As highlighted, the current movement is viewed as the early stages of a consolidation phase and EUR is expected to trade between 1.2080 and 1.2250 for a period of time.”