30 Jul 2013
Flash: EUR/USD primed for a move towards 1.3400 – Westpac
FXstreet.com (New York) - Global FX Strategist Sean Callow at Westpac, analyzes the short-term outlook of the EUR/USD and USD/JPY.
Key quotes
“The EUR/USD seems primed for a grind towards widely watched 1.3400 resistance, with better Eurozone PMIs keeping the doves in their coop at Thursday's ECB meeting – lukewarm US mood also helps in sluggish northern summer markets.”
“In terms of the USD/JPY, three consecutive weeks of Japanese net buying of foreign bonds adds to our inclination to buy dips. However, likely soft US data and neutral/dovish FOMC should help provide better levels on the week, say around 97/ high 96s. Moreover, the Nikkei has lost 7.8% from last week's high while tension between Japan and China has risen.”
Key quotes
“The EUR/USD seems primed for a grind towards widely watched 1.3400 resistance, with better Eurozone PMIs keeping the doves in their coop at Thursday's ECB meeting – lukewarm US mood also helps in sluggish northern summer markets.”
“In terms of the USD/JPY, three consecutive weeks of Japanese net buying of foreign bonds adds to our inclination to buy dips. However, likely soft US data and neutral/dovish FOMC should help provide better levels on the week, say around 97/ high 96s. Moreover, the Nikkei has lost 7.8% from last week's high while tension between Japan and China has risen.”