EUR/USD: Stuck in a multi-month sideways range - Westpac

EUR/USD remains stuck in a multi-month sideways range between 1.22 and 1.25, notes Imre Speizer, Research Analyst at Westpac.

Key Quotes

“Speculator positioning is extremely long by historical standards, which means 1.25 may remain a cap for some time.”

“In addition, asset managers may well remain underweight the EUR since shortend yields are likely to remain negative this year.”

“Economic data momentum has fallen sharply since February, and presents another headwind for the euro.”