11 Nov 2013
Flash: What’s the sentiment around the EUR/USD today? – Commerzbank and BTMU
FXstreet.com (Edinburgh) - The EUR/USD has regained the area around the 1.3400 handle on Monday, extending the bounce off post-NFP lows in the boundaries of 1.3320.
Karen Jones, Head of FICC Technical Analysis at Commerzbank, argued, “From a technical point of view the market is on the defensive and expected to remain so in the short to medium term. Attention this week is going to be on 1.3294, the 50% retracement of the move up from July. Below here will target the1.3105/65 region, which represents the September low and the 61.8% retracement”.
In light of the recent ECB rate cut, Currency Analyst Lee Hardman at BTMU commented, “The FT has reported today that a policy split has opened up between northern and southern ECB members with six northern members revolting against the refi rate cut delivered last week. It creates further uncertainty over the scale of additional easing that the ECB maybe willing to adopt should downside risks to their inflation target become more apparent again, which at the margin may prove euro supportive”.
Karen Jones, Head of FICC Technical Analysis at Commerzbank, argued, “From a technical point of view the market is on the defensive and expected to remain so in the short to medium term. Attention this week is going to be on 1.3294, the 50% retracement of the move up from July. Below here will target the1.3105/65 region, which represents the September low and the 61.8% retracement”.
In light of the recent ECB rate cut, Currency Analyst Lee Hardman at BTMU commented, “The FT has reported today that a policy split has opened up between northern and southern ECB members with six northern members revolting against the refi rate cut delivered last week. It creates further uncertainty over the scale of additional easing that the ECB maybe willing to adopt should downside risks to their inflation target become more apparent again, which at the margin may prove euro supportive”.