United Overseas Bank foreign exchange strategist Quek Ser Leang reports that EUR/USD momentum has stalled, signaling a consolidation phase for the currency pair. The Euro is projected to trade within a tight 1.1395 to 1.1440 range during intraday sessions, according to the latest UOB analysis released today. Looking ahead over the next one to three weeks, the bank anticipates slightly broader range-bound trading between 1.1360 and 1.1450 as directional momentum remains weak.
The flattening momentum suggests neither bulls nor bears have established control, leaving traders and brokers facing a period of reduced volatility and limited trending opportunities. The support zone around 1.1360 appears critical for determining whether the Euro can maintain current levels or faces downward pressure against the US Dollar. Currency pairs showing range-bound behavior typically require different trading strategies focused on boundary trades rather than trend-following approaches.
FXnCO Insight
Traders should watch the 1.1360 support closely as a break below could trigger the next significant move, while range-trading strategies may prove most effective until momentum returns.
Source: FXStreet