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EUR/USD to trade in wide range in to summer - SG

FXStreet (Guatemala) - Sebastien Galy, analyst at Scoiete Generale, noted conditions surrounding EUR/USD.

Key Quotes:

"With EUR/USD heading for a three-month cycle after a nine-month one, the probability of a large short covering later in the summer or autumn is quite large and significantly underpriced in the forward volatility curve. It presumes a downward sloping term structure and underprices upside risk in EUR/USD."

"More broadly, an environment with a much wider divergence of beliefs should give investors plenty of opportunities to rebalance their portfolios, a result typical of multi-agent/macroscopic models. Such buying and selling at the extreme of the range should mean range trading in a wide band into the summer before a probable severe break out."

AUD/USD: Bulls build support for next test of 0.7835

AUD/USD is currently trading at 0.7793 with a high of 0.7823 and low of 0.7673.
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Fed on path to raise rates this year? - Scotiabank

Derek Holt and Dov Zigler, analysts at Scotiabank explained that they think that the Fed wants to commence a hike cycle before year end.
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