EUR/USD faces the next resistance at 1.1065 – UOB

Economist Lee Sue Ann and Markets Strategist Quek Ser Leang at UOB Group note that further upside momentum in EUR/USD is now expected to meet the next hurdle around 1.1065.

Key Quotes

24-hour view: Yesterday, EUR rose to a 3-1/2-month high of 1.1017. The advance was short-lived, as EUR pulled back quickly and then traded sideways. Overbought conditions, combined with slowing momentum, suggest EUR is likely to continue to trade sideways. Expected range for today: 1.0945/1.1005. 

Next 1-3 weeks: While EUR rose to a 3-1/2-month high of 1.1017 yesterday, upward momentum has not increased by much. The bias for EUR is on the upside, but it remains to be seen if it has enough momentum to break clearly above the major resistance at 1.1065. We will hold a positive EUR view as long as it stays above 1.0925.