EUR/USD: Unlikely to see a short-term top is in place while above 1.0600/10 – ING

EUR/USD holds in positive territory on Friday. It is hard to say with any confidence that a short-term top is in place as the pair continues to trade and close above 1.0600/10, in the opinion of economists at ING.

Sticking with bearish EUR/USD views into the New Year

“For the time being, we will stick with our bearish EUR/USD views into the New Year.”

“Today's data calendar features the provisional PMI releases for December. These are all expected to remain firmly in recession territory. And we will also see the eurozone October trade balance, which is expected to bounce back from a EUR37 bn deficit in the prior month.”

“Let's see whether today's EUR/USD rally stalls at the 1.0665/0680 area. However, as long as EUR/USD continues to trade and close above 1.0600/10, it is hard to say with any confidence that a short-term top is in place.”