Forex Flash: What will EUR/USD do? – UBS and Commerzbank

FXstreet.com (Barcelona) - The effects of the better-than-expected NFP figures (+114K) during September are pushing the EUR to fresh highs against the greenback on Thursday, hovering over 1.3045 as of writing. The unexpected drop in the US unemployment rate to 7.8% is also collaborating in the positive momentum of the risk appetite.

Chris Walker, researcher at UBS, confirms the outlook for 1m at 1.30 and 3m at 1.35 while maintains the actual bullish outlook on the cross commenting, "the trending/momentum indicators are pointing higher. The risk is for a test of the important resistance at 1.3172. Support lies at 1.2878/04". In the same direction, Karen Jones, Head of FICC Technical Analysis at Commerzbank, remarks that today's close is very important adding "should a recovery through 1.3050 be seen we will have to allow for a retest of 1.3173/77".