19 Dec 2014
EUR is weak, flirting with its multi-year lows – Scotiabank
FXStreet (Barcelona) - Camilla Sutton CFA, CMT, Chief FX Strategist at Scotiabank, sees the EUR as weak, trading around its multi-year low of 1.2247, further anticipating the pair to move lower.
Key Quotes
“EUR is weak, flirting with its multi‐year low of 1.2247. Reuters headlines suggest that the ECB is contemplating having the weaker Eurozone countries bear more QE risk. The ECB announced that €7.1bn would be repaid in LTROs; lower than the previous two weeks.”
“EURUSD short‐term technicals: bearish—most studies support EUR downside, warning of a potential break of the December 8th low of 1.2247. The failure to close above the 50‐day MA followed by the aggressive downside move suggest building momentum; however the looming weekend and holiday week leaves market participants somewhat cautious.”
“We are biased to be short EUR. Support lies at 1.2247, with resistance at yesterday’s open of 1.2342.”
Key Quotes
“EUR is weak, flirting with its multi‐year low of 1.2247. Reuters headlines suggest that the ECB is contemplating having the weaker Eurozone countries bear more QE risk. The ECB announced that €7.1bn would be repaid in LTROs; lower than the previous two weeks.”
“EURUSD short‐term technicals: bearish—most studies support EUR downside, warning of a potential break of the December 8th low of 1.2247. The failure to close above the 50‐day MA followed by the aggressive downside move suggest building momentum; however the looming weekend and holiday week leaves market participants somewhat cautious.”
“We are biased to be short EUR. Support lies at 1.2247, with resistance at yesterday’s open of 1.2342.”