Has the euro topped?

Thoughts on the euro from Morgan Stanley, SocGen and Barclays

Morgan Stanley: EUR/USD has not topped yet. The EUR upward correction is not yet complete, in our view, and after a couple of days we expect EURUSD to start another attempt to the upside...With risk doing well, EURUSD is likely to retest yesterday's lows, but we stick to our view that the corrective high in EURUSD has not yet been traded. The 1.1760 level remains our minimum target, and there is even a chance of seeing 1.20.

SocGen: If sustained above the triangle limit of 1.1385/70, the recovery should be persistent. Monthly RSI too shows further room before it touches a resistance trend and the pair is likely to head towards 1.1810/75, the weekly channel limit and the 38.2% retracement from last year highs.

Barclays: We are neutral given stretched daily studies and look for signs of a top to re-establish our overall bearish view. We would only buy on a break above 1.1710 for a short-term upside squeeze towards the 1.1810/75 area. From there we would look for signs of a top to move lower in range.

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