EUR/USD could struggle to breach 1.10 – Westpac

Strategists at Westpac have suggested the decline in the pair could find strong support around the psychological handle at 1.1000.

Key Quotes

“Trading poorly but hard to see EUR much through 1.10, if at all, given regional US PMI's flag a sub-50 ISM next week and Verizon strikers+auto supply disruptions from the recent Japan earthquakes threaten to produce an underwhelming payrolls”.

“Draghi likely to sound more relaxed than usual too with the ECB staff likely to revise their inflation forecasts higher given the recent rally in oil prices. EUR could see a good bounce next week”.