EUR/USD outlook now shifted to bullish – UOB

FX Strategists at UOB Group have shifted their perspective to bullish from neutral on EUR/USD in the near term.

Key Quotes

“While we shifted to a bullish EUR stance on Wednesday, the rapid pace of advance despite overbought conditions comes as a surprise”.

“The price action is showing the characteristics of a ‘trending phase’ and from here, a break above the weekly trend-line resistance at 1.1475 could lead to further rapid rise towards the 2016 high of 1.1615”.

“The suggested buy level at 1.1290/95 was met on Tuesday and those who are long should raise the stop-loss to 1.1300, just above the entry level. On a shorter-term note, 1.1375 is already a strong support”.