The Euro (EUR) is expected to move higher and could break above last week’s high near 1.1010; the next resistance at 1.1050 is likely out of reach. After that, the next level to watch is 1.1070, UOB Group FX analysts Quek Ser Leang and Lee Sue Ann note.

The next resistance is at 1.1050

24-HOUR VIEW: “Yesterday, we detected ‘a slight increase in momentum.’ We expected EUR to edge higher, but we noted that ‘as upward momentum is not strong for now, any advance is unlikely to break the resistance at 1.0960.’ Our view of a higher EUR was not wrong, but we did not anticipate the sudden lift-off that sent it soaring by 0.56% (NY close of 1.0992). We continue to expect EUR to move higher today, and while it could break above last week’s high near 1.1010, overbought conditions suggest that the next resistance at 1.1050 is likely out of reach. To maintain the strong momentum, EUR must not break below 1.0955 with minor support at 1.0975.”