ING Strategy FX Strategy Research expects the Euro as a whole will be to consolidate this week in the absence of an escalation of political risks in the Eurozone. “The political situation will overshadow policy of the ECB for the Euro this week, as the noise associated with the independence of Catalonia, remains. We expect the pair EUR/USD will fluctuate around the level of $1,1700 – with a modest risk reduction associated with the data in the US, or politics. If EUR/USD closes below $1.17, we will focus on the consolidation,” says ING.
As for the pound, ING expects that the pound will rebound this week, as the initial chaos in Westminster was prevented. “It can help to alleviate some downward pressure on the pound, as concerns about an imminent chaos in Westminster has been disrupted … We expect that the pound will recover your losses this week, the pair GBP/USD will rise to $1.3250-$1.3300, and the pair EUR/GBP will return to 0.8860-0.8880,” adds ING.
Information-analytical Department Forex club