EUR/USD sell the strength above 1.0600 – Westpac

Chief Currency Strategist at Westpac Richard Franulovich remains of the view that bullish attempt above the 1.0600 area remain selling opportunities.

Key Quotes

“EUR firmed through Jan, from sub-1.04 to highs near 1.0830, backed by less negative yield spreads as stronger data in the Eurozone and elsewhere put the US in a less exceptional light and as Trump reflation expectations took a hit. Since then core EZ-US 2yr spreads have retraced almost all of that Jan move and appear poised to break out to new EURnegative lows. Yet EUR/USD has only retraced about 50% of the Jan rally”.

“Fed March hike odds around 45% are approaching a near term ceiling but should remain at least at current levels and could drift a touch higher going into Trump’s address to a joint sitting of Congress”.

“Meanwhile on the EUR side, safe haven flows are likely to suppress core bund yields at least until upcoming elections in the Netherlands (15 March) and then France (2nd round run-off 7 May) are out of the way. Sell EUR/USD into strength above 1.06 for a continuation of the down move”.


Sell 59%
Buy 41%
Avg Sell Price 1.0669
Avg Buy Price 1.0674
Liquidity Distribution


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 securities. 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 Forex 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.