Citi is neutral on EUR/USD in the near-term, while maintaining a medium-term bullish bias on the pair over the coming months.
"This week, CitiFX Strategy is neutral EURUSD short-term as markets price out some post-election uncertainty and fiscal discussions continue. But the team retains its medium-term bullish bias and no longer see major further dips," Citi notes.
"The major event this week will be EU Summit on Thursday/Friday with a focus on Brexit and the EU Recovery Fund and Budget, even though we don’t expect major breakthroughs. In the meantime, note a range of ECB speak today, including President Lagarde who speaks at an IMF event,' Citi adds.