25 Sep 2013
Flash: EUR/USD remains below 1.3500. US fiscal debate looming. Where to next? Danske Bank and Commerzbank
FXstreet.com (Edinburgh) -The shared currency keeps the trade within the weekly range so far, with the EUR/USD consolidating the recent decline from last week’s peaks and currently hovering over 1.3485/90.
Morten Helt, Senior Analyst at Danske Bank, suggested, “Positions have almost certainly been cut further since then and while rising concerns over US budget negotiations could weigh further on EUR/USD near term, risks are probably relatively balanced from a positioning perspective after the recent correction lower in EUR/USD”.
“Near term risks are reverting to the downside and attention has reverted to the 1.3453 August high. The TD perfected set up is suggesting that the upside is limited from here, but allows for potential move to 1.3585”, noted Karen Jones, Head of FICC Technical Analysis at Commerzbank. The expert also added that only a close below 13453 would allay the bid tone.
Morten Helt, Senior Analyst at Danske Bank, suggested, “Positions have almost certainly been cut further since then and while rising concerns over US budget negotiations could weigh further on EUR/USD near term, risks are probably relatively balanced from a positioning perspective after the recent correction lower in EUR/USD”.
“Near term risks are reverting to the downside and attention has reverted to the 1.3453 August high. The TD perfected set up is suggesting that the upside is limited from here, but allows for potential move to 1.3585”, noted Karen Jones, Head of FICC Technical Analysis at Commerzbank. The expert also added that only a close below 13453 would allay the bid tone.