Flash: EUR to face renewed pressure - Scotiabank

FXStreet (Guatemala) - Camilla Sutton, CFA, CMT, Chief FX Strategist at Scotiabank explained, in a notably reactionary stance, President Draghi highlighted that with PMIs, GDP and inflation having all firmed the ECB is prepared to see how the dynamics unfold from here.

Key Quotes

"We see the ECB’s current stance as supportive of EUR in the near‐term (we hold a Q114 target of 1.40); however expect that as the year wears on EUR will come under renewed downward pressure (we hold a year‐end target of 1.30)."

"EUR/USD short‐term technicals: bullish with building upside momentum; we expect a near‐term test up to 1.40."