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Risk trends to drive EUR/USD near term – Danske Bank

FXStreet (Edinburgh) - Senior Analyst at Danske Bank Morten Helt sees the risk appetite trends to drive the pair’s price action in the near term.

Key Quotes

“While we still look for a new leg lower in EUR/USD in the coming months driven by relative rates, we believe that the reduction of EUR/USD shorts could have further to go in the short term”.

“In that respect, a positive US retail sales figure today might give some temporary support to the Greenback but it is probably not enough to ignite a renewed bear trend in the cross”.

“Hence, EUR/USD might continue to trade according to the risk on / risk off in the near term”.

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