1 Jul 2013
Flash: EUR may be weighed by IMF data ahead of ECB meet - OCBC Bank
FXstreet.com (London) - Emmanuel Ng of OCBC Bank suspects that ahead of the ECB meeting this week, the EUR may continue to be weighed by the latest IMF FX Central Bank reserves holdings data.
He continues to explain that the data showed the EUR’s share of total allocated foreign reserves fell to 23.7% in 1Q 13 from 24.3% the previous quarter. In the interim, he writes, “EUR/USD may continue to contemplate the 1.3000 floor with the next waypoint expected at around 1.2950. Meanwhile, 55-day MA (1.3076) and the 200-day MA (1.3074) are expected to offer good resistance in the near term.”
He continues to explain that the data showed the EUR’s share of total allocated foreign reserves fell to 23.7% in 1Q 13 from 24.3% the previous quarter. In the interim, he writes, “EUR/USD may continue to contemplate the 1.3000 floor with the next waypoint expected at around 1.2950. Meanwhile, 55-day MA (1.3076) and the 200-day MA (1.3074) are expected to offer good resistance in the near term.”