EUR favouring downside - Scotiabank

By FXstreet.com | July 25, 2014 AAA

FXStreet (Guatemala) - Camilla Sutton, CFA, CMT, Chief FX Strategist at Scotiabank noted that the EUR is soft and favouring downside.



Key Quotes



“Today’s weak German IFO, coming in below expectations and the June data, warns of fading confidence; however it is next week’s flash CPI, expected to be stable at 0.5% on headline and 0.8% on core, which is critical to evaluating the path of ECB policy and EUR. We hold a Q314 target of 1.34 and a year-end target of 1.30; expecting EUR to leak slowly lower from here."



"EUR/USD short‐term technicals: bearish—technical studies are all bearish EUR, warning of a test lower still. 1.3400 is an important technical level and we would expect support to hold only temporarily there."



comments powered by Disqus
Related Forex Analysis
  1. USD/JPY Traders Await Clearer Guidance As A Doji Signals Hesitation
    Forex News

    USD/JPY Traders Await Clearer Guidance As A Doji Signals Hesitation

  2. USD/JPY is dancing around 107.00
    Forex News

    USD/JPY is dancing around 107.00

  3. USD/CAD Tests Critical Barrier As Intraday Dojis Denote Indecision
    Forex News

    USD/CAD Tests Critical Barrier As Intraday Dojis Denote Indecision

  4. NZD/USD Stalls At 0.8000 Barrier As A Doji Arises & Volume Fades
    Forex News

    NZD/USD Stalls At 0.8000 Barrier As A Doji Arises & Volume Fades

  5. EUR/USD sidelined above 1.2700
    Forex News

    EUR/USD sidelined above 1.2700

Trading Center