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13 Aug 2013
Flash: EUR.Yen and Sterling insight - Societe Generale
FXstreet.com (Barcelona) - Sebastien Galy, strategist at Societe Generale offers insights into EUR, YEN and Sterling.
Key Quotes:
“EUR/USD still seems in its overshoot phase but remains constrained on the top side by important technical levels and extreme valuation signals around 1.3420”.
“A better ZEW is helping to put some significant pressure on Bunds, while more broadly the 2 year swap spread is moving higher typically a positive sign for USD/JPY”.
“We remain structural bears on EUR/USD and are getting close to having some more aggressive shorts (or long USD/CHF)”.
“USD/JPY is anticipating a positive US retail sales data and is constrained for now by the 98.34 MA(50) and generally recovering back towards fair value at 99… the pair was helped by a review of corporate taxes and plans to better control the ministries”.
“UK inflation was a tad below expectations while UK RICS house price index jumped higher, changing little to EUR/GBP which is supported by its MA(50) and at risk of a shallow break lower”.
Key Quotes:
“EUR/USD still seems in its overshoot phase but remains constrained on the top side by important technical levels and extreme valuation signals around 1.3420”.
“A better ZEW is helping to put some significant pressure on Bunds, while more broadly the 2 year swap spread is moving higher typically a positive sign for USD/JPY”.
“We remain structural bears on EUR/USD and are getting close to having some more aggressive shorts (or long USD/CHF)”.
“USD/JPY is anticipating a positive US retail sales data and is constrained for now by the 98.34 MA(50) and generally recovering back towards fair value at 99… the pair was helped by a review of corporate taxes and plans to better control the ministries”.
“UK inflation was a tad below expectations while UK RICS house price index jumped higher, changing little to EUR/GBP which is supported by its MA(50) and at risk of a shallow break lower”.