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18 Feb 2014
Flash: EUR/USD 1 month high - Scotiabank
FXStreet (Guatemala) - Camilla Sutton, CFA, CMT, Chief FX Strategist at Scotiabank noted that EUR is strong, having traded to a fresh one-month high.
Key Quotes:
“German ZEW (investor confidence) came in stronger than expected on the current situation (55) but weaker on the forward expectations (55.7). In Italy, PM designate, Renzi, is trying to pull together a new government."
"The FT has an important article that highlights how the launch of QE by the ECB would likely reverse some of the gains the European bond market has made in terms of narrowing spreads; as the size of the market would force much of the buying in the German bunds market. EUR near-term pressure remains bullish; but that has not shifted our longer term bearish outlook."
"EURUSD short‐term technicals: bullish—all technicals have shifted back into buy territory (see table); the only warning on the charts is that the ADX at just 12 suggest there is no clear trend. Resistance lies at 1.3800."
Key Quotes:
“German ZEW (investor confidence) came in stronger than expected on the current situation (55) but weaker on the forward expectations (55.7). In Italy, PM designate, Renzi, is trying to pull together a new government."
"The FT has an important article that highlights how the launch of QE by the ECB would likely reverse some of the gains the European bond market has made in terms of narrowing spreads; as the size of the market would force much of the buying in the German bunds market. EUR near-term pressure remains bullish; but that has not shifted our longer term bearish outlook."
"EURUSD short‐term technicals: bullish—all technicals have shifted back into buy territory (see table); the only warning on the charts is that the ADX at just 12 suggest there is no clear trend. Resistance lies at 1.3800."