Euro: Recovery capped by resistance against US Dollar – UOB
United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann highlight that EUR/USD has bounced off recent lows near 1.1164 but downside momentum remains lacklustre. The Euro’s recovery is seen as constrained within 1.1190–1.1240 intraday, while the broader 1–3 week view still allows for a test of 1.1145 as long as strong resistance at 1.1265 holds and the oversold downtrend phase persists.
UOB analysts Quek Ser Leang and Lee Sue Ann assert that the EUR/USD currency pair has rebounded from recent lows near 1.1164, but the decline in strength remains subdued. The Euro's resurgence is confined within the 1.1190–1.1240 intraday range, while a potential test of the 1.1145 level over the next 1-3 weeks is contingent upon strong resistance at 1.1265 staying intact and the oversold downtrend continuing.
On 24-hour charts, the EUR fell to a low of 1.1164, rebounded, and closed higher at 1.1209. UOB predicts that any upward movement will still be contained within the 1.1190/1.1240 range. Looking at a three-week perspective, the EUR's downward momentum has slowed further, with only a clear break above 1.1285 (the "strong resistance" level) signaling that the weakness in EUR has stabilized.
The analysts maintain their previous view that EUR could test 1.1145 as long as 1.1265 remains strong resistance and the downtrend phase persists.
Written by urgent.news from FXStreet's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
