Euro: Neutral tone within defined band against dollar – UOB

UOB’s Quek Ser Leang and Lee Sue Ann describe EUR/USD as neutral after Monday’s reversal from 1.1606 to close at 1.1630. They expect the pair to consolidate intraday between 1.1610 and 1.1660, while the broader 1.1590–1.1685 range remains in force. On a multi‑week horizon, they flag building downside momentum, with a break of 1.1540 potentially opening the way toward 1.1410.

Sideways now but downside risk building

"24-HOUR VIEW: EUR reversed its initial sharp drop to 1.1606 yesterday, as it rebounded and closed 0.25% lower at 1.1630. Given the brief drop, there has been no significant increase in downward momentum. Today, instead of continuing to decline, EUR is more likely to trade in a range between 1.1610 and 1.1660."

"1-3 WEEKS VIEW: Our most recent narrative was from last Monday (25 May, spot at 1.1620), when we highlighted that EUR “is neutral now, and it is likely to trade between 1.1590 and 1.1685.” We continue to hold the same view for now."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)