EUR/USD continues to move below the 1.05 level. Economists at ING analyze the pair’s outlook.

EUR/USD in the soft side of a 1.04-1.06 range over the coming weeks

ECB President Christine Lagarde speaks today at a monetary policy conference. Given the market prices virtually no further tightening from the ECB, any hawkish remarks from her could provide a little support to the beleaguered EUR/USD.

However, any gains above 1.05 look hard to sustain given the tough external environment and we can see EUR/USD trading to the soft side of a 1.04-1.06 range over the coming weeks.