EUR/USD keeps the bearish outlook, supported near 1.11 – UOB

In opinion of the research team at UOB Group, EUR/USD’s stance remains bearish although well supported in the 1.1100 area.

Key Quotes

“Instead of extending lower to test the major 1.1120/25 support, EUR rebounded quickly to an overnight high of 1.1197. The recent downward pressure has clearly eased and the current movement is viewed as part of a consolidation phase”.

“We turned bearish EUR yesterday but indicated that any decline is expected to encounter solid support at 1.1100. In other words, the downside potential appears to be limited. That said, the outlook for EUR is deemed as bearish until there is a break of the stop-loss at 1.1240”.