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2 Dec 2014
EUR continues to range trade – Scotiabank
FXStreet (Barcelona) - Yesterday’s disappointing PMI and today’s soft PPI did little to push EUR lower as it continues to range trade within its month long range, notes Camilla Sutton CFA, CMT, Chief FX Strategist at Scotiabank.
Key Quotes
“EUR continues to range trade within its month long 242 point, 1.2358 to 1.2600 range, entering the NA session in the middle of the range. Yesterday’s disappointing PMI did little to shift the currency and today’s soft PPI, falling –0.4%m/m and –1.3%y/y has also done little to force a lower EUR. Instead the market is waiting for Thursday’s ECB meeting and press conference. European bond yields continue to be pressured lower, with German, France, Italy, Spain, Portugal and Swedish yields at their lows. We expect EUR to trend lower over time.”
“EURUSD short-term technicals: mixed—EUR’s 242-point one month range is highlighted in technical signals, which are failing to provide a uniform and consistent signal. For short-term traders there is likely better risk reward elsewhere; however we continue to expect EUR to trend lower over time.”
Key Quotes
“EUR continues to range trade within its month long 242 point, 1.2358 to 1.2600 range, entering the NA session in the middle of the range. Yesterday’s disappointing PMI did little to shift the currency and today’s soft PPI, falling –0.4%m/m and –1.3%y/y has also done little to force a lower EUR. Instead the market is waiting for Thursday’s ECB meeting and press conference. European bond yields continue to be pressured lower, with German, France, Italy, Spain, Portugal and Swedish yields at their lows. We expect EUR to trend lower over time.”
“EURUSD short-term technicals: mixed—EUR’s 242-point one month range is highlighted in technical signals, which are failing to provide a uniform and consistent signal. For short-term traders there is likely better risk reward elsewhere; however we continue to expect EUR to trend lower over time.”