Credit Agricole: EUR/USD a sell on rallies – eFXnews

FXStreet (Barcelona) - The Research Team at Credit Agricole, views that EUR/USD will likely remain a sell despite ongoing Greek concerns, likely to remain pressured by ECB’s QE, as noted by eFXnews.

Key Quotes

“The EUR has been in demand of late, mainly on the back of rising expectations of officials getting closer to a deal for Greece.”

“Regardless of conditions in Greece we expect the single currency to remain mainly driven by ECB monetary policy expectations. As confirmed by the latest data business activity has been slowing for several euro nations. This in turn suggests that the risk is for further slowing price developments. Under such conditions the ECB remains in a position to keep an aggressive monetary policy stance to the detriment of the EUR.”

“As a result to the above outlined conditions we remain of the view that EUR rallies should be sold, in particular against the USD.”

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