MUFG Research added a long EUR/USD position in its TOTW portfolio, while maintaining a short USD/JPY exposure targeting a move towards 129.
MUFG recommended a new long EUR/USD on Friday (spot ref: 1.0950), targeting a move towards 1.1350, with a stop at 1.0750.
"We are recommending a new long EUR/USD trade idea. The pair is currently testing the top of this year's trading range between 1.0500 and 1.1000. We expect the pair to break to out to the upside and move back closer to pre-Ukraine conflict levels from early last year," MUFG notes. "
The fundamental drivers that have helped lift EUR/USD at the start of this year remain in place and have been reinforced recently," MUFG adds.
MUFG Research maintains a short USD/JPY exposure (spot ref: 134:70) in its TOTW portfolio with a target at 129.00, and a stop at 138.50.
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