OctaFX | OctaFX Forex Broker
Open trading account
Back

Forex Flash: UBS revises down EUR/USD forecast to 1.3000 in April and 1.28 in June

FXstreet.com (San Francisco) - The UBS analyst team has cut its EUR/USD forecast for the one-month and tree-month windows and after expecting 1.37 in 1-month and 1.30 in 3-month, the bank is expecting now the pair going to 1.3000 in 1-M and 1.28 in 3-M windows.

Heat Map euro dollar

However, UBS expects the "euro to trade back to 1.20 against the dollar by year end as America's economy outperforms, the Federal Reserve starts scaling back its asset purchases in the second half of the year, foreign central bank and sovereign wealth fund managers desist from dollar diversification and America's shale energy boom cuts the US current account deficit."

On the European side, "Italy's elections and now Cyprus' prospective action against deposit-holders suggest the Eurozone debt crisis is set to weigh on the euro again even before the Fed starts to temper its quantitative easing."

In this line, the bank downgraded its "one and three month EURUSD forecasts from 1.37 and 1.30 respectively to 1.30 and 1.28 while keeping our end year forecast of 1.20."

UBS Forecast

Forex: USD/CHF tests resistance at 0.9450

The USD/CHF remains trapped by resistance at 0.9450 area after having rallied on Monday opening from just below 0.9400 to 0.9450. The area at 0.9425 has been serving as support against further retracement of gains and the pair did spike to 0.9486 high in mid-European morning.
Read more Previous

Forex Flash: EUR/CAD with short and medium term downside risks – TD Securities

The EUR/CAD broader tone here continues to suggest consolidation (potential bull flag), but spot is spending quite a bit of time below the short-term MA (28– and 40-day) signals currently (the most, in fact since November). Also, short-term trend momentum is flipping to bearish and the longer-term studies are starting to get dragged along, according to TD Securities analysts Shaun Osborne and Greg Moore, adding long-term concernings signs to it as further weakness through the balance of March would suggest building medium-term downside risks.
Read more Next
Start livechat