TD Research maintains a tactical bearish bias on EUR/USD, expressing that via holding a short exposure as its TotW targeting a move towards 1.17.
"EURUSD has coiled into the range highs. We look for 1.1920 to be formidable in containing rallies as it does mark the post-election high. More notably however, DM macro is slowing as Covid infections surge and mitigation measures are enforced," TD notes.
"We think EURUSD needs a fresh catalyst to make new highs and we just do not see that anytime soon. We also think cable will require a fresh move lower in the broad USD to extend above this month's highs," TD adds.