6 Jul 2015
Short EUR/JPY, EUR/USD to break lower – SG
FXStreet (Barcelona) - With Greece crisis taking another unpredictable turn, Kit Juckes shares the outlook for EUR/USD, EUR/JPY and the antipodeans.
Key Quotes
“We will watch peripheral spreads, see how the ECB reacts (keep the ELA levels unchanged, I imagine) and see whether nerves are calmed by the Euro bounce. But overall,I can't see risk sentiment recovering enough to make CEEFX anything but a sell on any bounce, and unless bulls gain the upper hand on China, I'll sell into any rallies in NZD and AUD too, vs USD or JPY.”
“And long-term shorts in EUR/JPY remain, as well as a belief that the EUR/USD range-trading (1.0950-1.1250) will be followed by a break lower in due course.”
Key Quotes
“We will watch peripheral spreads, see how the ECB reacts (keep the ELA levels unchanged, I imagine) and see whether nerves are calmed by the Euro bounce. But overall,I can't see risk sentiment recovering enough to make CEEFX anything but a sell on any bounce, and unless bulls gain the upper hand on China, I'll sell into any rallies in NZD and AUD too, vs USD or JPY.”
“And long-term shorts in EUR/JPY remain, as well as a belief that the EUR/USD range-trading (1.0950-1.1250) will be followed by a break lower in due course.”