FX Strategists at UOB Group Lee Sue Ann and Quek Ser Leang noted EUR/USD is expected to trade between 1.0350 and 1.0650 in the next weeks.

Key Quotes

24-hour view: “Our expectations for ‘the rapid rise in EUR to extend’ did not materialize as it dropped to a low of 1.0443. Despite the decline, downward momentum has not improved by much. For today, EUR is likely to consolidate and trade between 1.0445 and 1.0550.”

Next 1-3 weeks: “We highlighted last Friday (17 Jun, spot at 1.0545) that the recent EUR weakness has run its course and EUR has likely moved into a consolidation phase. We expected EUR to trade between 1.0435 and 1.0700. We did not anticipate the sharp pullback to 1.0443. We continue to expect EUR to consolidate, albeit likely within a lower and wider range of 1.0350/1.0650.”