EUR/USD: Late year rally has run its course for now – Scotiabank

EUR/USD pops higher but undertone remains soft. Economists at Socitbank expect the pair to consolidate in the next few weeks before pushing higher again.

Support at 1.0650/55 now figures as short-term resistance

“We still think that positioning (long) and sentiment (bullish) mean that the EUR’s late year rally has run its course for now and needs to consolidate in the next few weeks before pushing higher again.”

“Spot has edged under minor trend support at 1.0650/55 off the early Nov low which now figures as short-term resistance.” 

“Support is 1.0500/10.”