EUR/USD: Next resistance now emerges at 1.0900 – UOB


In light of the recent price action, EUR/USD could now dispute the 1.0900 hurdle in the next few weeks, suggest Economist Lee Sue Ann and Markets Strategist Quek Ser Leang at UOB Group.

Key Quotes

24-hour view: “We highlighted yesterday that EUR ‘is likely to trade with an upward bias but it remains to be seen if EUR can maintain a foothold above the major resistance at 1.0785’. The anticipated EUR strength exceeded our expectations as EUR surged to 1.0866 before closing on a strong note at 1.0846 (+0.85%). Despite the relatively large gains, momentum has not improved by much. That said, the risk for EUR is still on the upside even though 1.0900 is expected to offer solid resistance. Above 1.0900, there is another significant resistance level at 1.0930. Support is at 1.0825; a breach of 1.0800 would indicate that the current upward pressure has eased.”

Next 1-3 weeks: “On Tuesday (10 Jan, spot at 1.0730), we highlighted that EUR is likely to take a crack at another strong resistance level at 1.0785. Our view was not wrong as EUR cracked 1.0785 yesterday and soared to 1.0866. The improved upward momentum suggests further EUR strength. The next resistance is at 1.0900, followed by a key level at 1.0930. The upside risk is intact as long as EUR stays above 1.0760 (‘strong support’ level was at 1.0665 yesterday).”

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

AUD/USD: Gains look capped near 0.6800

AUD/USD: Gains look capped near 0.6800

AUD/USD lost ground for the third session in a row and revisited the 0.6720-0.6715 band following the generalized bearish performance of commodities and ahead of the key release of the Australian labour market report.

AUD/USD News

EUR/USD keeps the bid tone in place ahead of ECB

EUR/USD keeps the bid tone in place ahead of ECB

EUR/USD added to Tuesday’s advance and rose to new highs around 1.0950 in response to extra weakness in the Greenback and rising expectations prior to the ECB gathering on Thursday.

EUR/USD News

Gold retreats from record highs, retains the bullish stance

Gold retreats from record highs, retains the bullish stance

Gold trades flat on the day below $2,470 after touching a new record high above $2,480 in the Asian session on Wednesday. The modest recovery seen in the US Treasury bond yields causes XAU/USD to consolidate its gains.

Gold News

Ripple extends gains as XRP traders await end of SEC vs. Ripple lawsuit

Ripple extends gains as XRP traders await end of SEC vs. Ripple lawsuit

Ripple (XRP), XRP Ledger’s native token, extended gains by nearly 7% on Wednesday. The sixth largest asset by market capitalization rallied for the tenth consecutive day and erased all losses from the last 99 days. 

Read more

Australian Unemployment Rate seen steady at 4% in June

Australian Unemployment Rate seen steady at 4% in June

With sentiment dominating financial markets, the Australian Bureau of Statistics will release the monthly employment report on Thursday at 1:30 GMT. The country is expected to have added 20K new positions in June, while the Unemployment Rate is foreseen to remain steady at 4%.

Read more

Forex MAJORS

Cryptocurrencies

Signatures