EUR/USD strong support at 1.1330 – UOB

FX Strategists at UOB Group remain bullish on the pair, seeing tough support in the 1.1330 area in the next weeks.

Key Quotes

“The major 1.1475 resistance remain unchallenged as EUR dropped sharply to hit an overnight low of 1.1353. With no sign of stabilization just yet, further downside probe is likely but 1.1330 is a rather strong support and this level is unlikely to yield so easily (the next support at 1.1300 is another strong level). Resistance is at 1.1385 but stabilization is only upon a move above 1.1415”.

“EUR closed lower for the second straight day and this does not bode well for our current bullish view. As highlighted in recent updates, the weekly trend-line at 1.1475 is a major resistance and EUR has to break above this level for further up-move to the next resistance at 1.1615. However, the lower daily closing yesterday has dented the upward momentum and a move below 1.1330 is enough to indicate that a temporary top is in place. In the meanwhile, those who are long from 1.1295 should look to exit half of their position at 1.1435, just below last week’s 1.1445 top”.