FXStreet (Edinburgh) - Strategists at the Swiss lender UBS remain bearish on the pair and still see any upside as a selling opportunity.
“We took profit today on our short EURUSD trade recommendation, but remains bearish the pair and expect further downside in due course”.
“The current recovery could reach 1.3417, the 38.2% retracement of the july-August sell off, but the long term weekly bearish trend suggests that this point may not be achieved”.
“As such, we recommend working offers at 1.3330, and then at 1.3400, to get short again. Our target will be 1.3045, the 50% retracement, stop at 1.3530, just above the 62% retracement of the Juy-August decline”.
“If the anticipated recovery falls to materialize and the pair crosses below 1.3249 first instead, that would also be a sell signal”.