Goldman Sachs Research flags a scope for a EUR tactical recovery over the coming week.

"We think the scale of the sell-off over the past month specifically makes it important to differentiate the longer-term challenges from the tactical outlook, where we are wary of extrapolating the move lower in EUR/USD. Part of this is due to an alignment of positive recent drivers on the Dollar side of the equation that look more difficult to sustain at the same pace going forward," GS notes.

"While scrutiny on fiscal fundamentals is currently centred on France and the Euro, other major currencies (Dollar, Yen, and Sterling included) have all faced at least bouts of similar pressures at some point over the past year. Together, this balance of factors implies some scope for a stabilisation and a tactical recovery in the broad Euro in the weeks ahead, even if longer-term challenges remain," GS adds.