EUR/USD to retest the upper 1.08s on weakness through minor support at 1.0930 – Scotiabank

EUR/USD drifts back to low 1.09s. Economists at Scotiabank analyze the pair’s outlook.

The short-term trend remains lower

The EUR is carving out a broad consolidation range on the chart following the late December/early January slide against the USD.

Friday’s volatility clouds the short-run outlook to some extent but, outside of a move back above 1.10, the short-term trend in spot remains lower – albeit amid slack trend momentum. 

Minor support at 1.0930 is under pressure. Weakness through here should see spot retest the upper 1.08s.