The EUR/USD has started the day on Monday, testing the minimum of 3 days at 1.0605. The junction, subsequently, has had a momentum that has led to maximum of 2 days at 1.0652, and while you are waiting for the u.s. data of the manufacturing index Empire and real estate market NAHB is trading around 1.0625/30, a 0.20% above its opening price.
Strategists at UOB Group suggest that EUR/USD remains neutral, lateralized in the region 1.0555/1.0700 short-term: «The pair has moved towards a phase of consolidation and is expected to operate between 1.0555 and 1.0700 for now. The movement most likely to lead to prove the minimum weekly near 1.0565/70, although once here, a movement sustained by below is not predictable.»
The analysts of Lloyd Bank see the euro under-valued mid-term: «In the short term, it is likely that european policy remains the main source of downside risk for the euro, with the presidential elections in France as a focal point remarkable. Concerns ongoing about the financial situation of Greece and a permanent divergence in the monetary policy of the united States and the Eurozone may also weigh on EUR/USD. That said, the market is already discounting much of this, and the european data continue to improve.»
«On the basis of our estimates model, we see the euro as undervalued in the medium term, with a» fair value «focused around 1.20. Therefore, we look for the EUR/USD to increase to 1.10 by the end of the year, extending to 1.13 for the end of 2018, «added Lloyds Bank.