Euro: Correction seen near key averages against US Dollar – Societe Generale
Societe Generale’s Morning Briefing reports EUR/USD traded between 1.1359 and 1.1387 overnight and is on course for a second weekly drop. The defence of the 100‑week moving average at 1.1356 and oversold technicals suggest the correction may have run its course for now. The bank cites support at 1.1270 and resistance at 1.1450, with a large option expiry at 1.1400.
Oversold Euro tests 100wma
"Euro on course for second weekly drop, defense of 100wma (1.1356) and oversold technicals suggest the correction has run its course for now. Support 1.1270, resistance 1.1450."
"EUR/USD sank below 1.14. Worryingly, the stronger services PMI data in September for Germany and France, and the latest rise in the German IFO business survey, failed to attract dip buying."
"Technicals are stretched but a deeper drop cannot be ruled out in 4Q. For the ECB, the weaker euro and elevated oil prices complicate the inflation challenge and only adds to the asymmetric sell off in European debt, raising the burden for governments to stabilise debt levels."
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Bank of Japan minutes turn hawkish: Most members believe a rate hike is needed soon, with a 70% probability of a hike in December
Minutes from the Bank of Japan show that several members believe a rate hike is needed in the near term, with a roughly 70% probability of an increase in December. Core inflation has met the target for the first time in 30 years, and the current policy rate stands at 1.25%.
Former Chainlink Product Marketing Director Michael Robinson joins Monad Foundation
The Federal Reserve Eyes $1.8 Trillion in “Shadow Credit”: Dallas and New York Fed Launch First Private Credit Survey
The Dallas and New York Federal Reserves have launched an investigation into private credit lending standards, covering an industry worth 1.8 trillions USD, with a minimum threshold of 50 millions USD. The results will be released in the first quarter of 2027.
Tom Lee Says a VIX Signal Points to a Stock Market Bottom
Crypto prices
More
