EUR/USD: Not Out Of The Woods Yet; USD/CAD: A Return Below 1.30 Not Imminent – SocGen

0

Both EUR/USD and USD/CAD have been in search for a new direction. What’s next?

Here is their view, courtesy of eFXdata:

Societe Generale Research discusses EUR/USD, and USD/CAD tactical outlook and adopts a neutral bias in the near-term.

The Euro is now snuggled into this 1.13-1.18 range, but the top of it feels a long way away. Better German and Spanish data yesterday was offset by soft Italian data and Italian political concerns aren’t going away. Italian retail sales are due to be released before the Eurozone data this morning and the market will react to any weakness, Suffice to say, the euro isn’t completely out of the woods even if the Midterms give an additional degree of solidity to that 1.13 level,”SocGen argues

The Canadian dollar still looks cheap, but the elections and the price of oil both count against it. Frustration will continue and a return to levels below USD/CAD 1.30 isn’t imminent,” SocGen adds.

For lots more FX trades from major banks, sign up to eFXplus

By signing up for eFXplus via the link above, you are directly supporting Forex Crunch.

Get the 5 most predictable currency pairs

About Author

Yohay Elam – Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I’ve accumulated. After taking a short course about forex. Like many forex traders, I’ve earned the significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I’ve worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.