Euro: Consolidation holds in mid 1.15s against US Dollar – Scotiabank
Scotiabank strategists Shaun Osborne and Eric Theoret highlight that the Euro (EUR) is steady, extending a tight consolidation around the mid-1.15s after the Dollar’s late-July Fed-driven decline.
Scotiabank analysts Shaun Osborne and Eric Theoret report that the Euro (EUR) is maintaining a narrow range around mid-1.15s against the US Dollar (USD). This consolidation comes after a decline in the Dollar, driven by the Federal Reserve's actions in late July. The EUR/USD pair trades close to a fair value estimate based on 2-year Germany-US yield spreads.
Although there is a moderate shift towards sentiment-driven correlations, the Euro's bullish momentum is waning, with the Relative Strength Index (RSI) drifting into the upper 50s. Support is expected around the 50-day moving average at 1.1468, while resistance levels are seen at 1.1580 and 1.1600, with a further potential resistance at the 200-day moving average at 1.1630.
Written by urgent.news from FXStreet's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
