- Analytics
- News and Tools
- Market News
- EUR/USD: Charts suggest a pause at least in drop – Scotiabank
EUR/USD: Charts suggest a pause at least in drop – Scotiabank
The Euro (EUR) has recovered somewhat from the low reached in the wake of yesterday’s ECB rate cut. But EZ/US spreads remain wide, with markets pricing in more easing from the ECB before year end (the 2Y spread has dropped to –187bps, the widest since early July) , Scotiabank’s Chief FX Strategist Shaun Osborne notes.
EUR steadies after ECB rate cut
“ECB Governor Villeroy commented earlier that the ECB should continue to ease policy ‘as appropriate’ but would maintain ‘total optionality’ at forthcoming meetings.”
“Spot is consolidating the October run lower that has largely delivered on the bearish promise of the break under 1.10 (recall that the break under 1.10 support at the start of the month triggered the 1.12 double top pattern which targeted a drop to the 1.08 area).”
“The EUR sell-off looks stretched and may see a little more relief in the short run if spot can push above minor trend resistance at 1.0850 in the next day or so. Firmer resistance sits at 1.0900/10. Support is 1.0800.”
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
