EUR/USD is near to smash the critical hurdle of 0.9900. However, economists at ING note that the pair could see a substantial correction at any time.

No idiosyncratic support

“The euro has still failed to show any substantial idiosyncratic bullish push. This is hardly surprising given the still very challenging outlook for the eurozone and elevated uncertainty about the energy crisis heading into the cold months.”

“The EUR/USD recovery is looking quite fragile, which means that any slight dollar recovery could trigger a wider correction in the pair.”

“We still see a high risk of a return to 0.9500 over the coming weeks.”