Credit Agricole CIB FX Strategy Research deals with EUR outlook in terms of positioning, note that speculative EUR positioning is back to the balance of the territory.
«This suggests that there is no place for the position of the quadrature conce
ed downside risk. Therefore, positioning is another indication of the last week of the disadvantage of being a corrective move rather than a change of trend,» CACIB argued.
In terms of next week, the calendar data, CACIB note that it is relatively empty when it comes to high-level data releases, expecting that the Euro area growth expectations should continue to be well supported.
Trade wise CACIB recommends buying EUR Dips and remain long EUR/USD* EUR/CHF as a trade recommendation.
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