EUR/USD likely to stay between 1.06 and 1.10 in 1-3 month – Danske Bank

Chief Analyst at Danske Bank Jakob Christensen expects the pair to remain sidelined between 1.06 and 1.10 in a 1-3 months’ view.

Key Quotes

“In the majors, the USD sell-off continued yesterday against notably EUR, JPY, GBP, CHF in what seems a continuation of the move following Friday’s failure to pass the bill to replace Obamacare in Congress and thus more broadly a fading belief in expansionary Trump policies”.

“We note the DXY is now back around the levels prevailing at the time of the presidential election. We maintain that EUR/USD has upside potential longer term, but in 1-3M we are likely to be stuck in the 1.06-1.10 range”.