There is a chance for the Euro (EUR) to dip to 1.0790 before the risk of a more sustained rebound increases. The major support at 1.0760 is unlikely to come under threat, UOB Group FX analysts Quek Ser Leang and Lee Sue Ann note.

EUR may dip towards 1.0790 in short term

24-HOUR VIEW: “When EUR was trading at 1.0820 yesterday, we highlighted yesterday that ‘provided that EUR remains below 1.0845 (minor resistance is at 1.0835), it could drop below 1.0800.’ We added, ‘the major support at 1.0760 is unlikely to come under threat.’ Our view was not wrong, as EUR remained below 1.0845 (high of 1.0835) and dropped below 1.0800 (low of 1.0795). EUR closed largely unchanged at 1.0815 (-0.14%). Downward momentum is slowing, but there is still a chance for EUR to dip to 1.0790 before the risk of a more sustained rebound increases. The major support at 1.0760 is still unlikely to come under threat. Resistance levels are at 1.0830 and 1.0845.”