EUR/USD and AUD/USD: How should these pairs be traded this week? (UBS bank)

The EUR/USD pair has climbed above last week's summit at 1.0855, and will need to show weakness below that level for sellers to return, says UBS.

"The market seems to be bearish in general, and it seems that brutal movements will persist... Flows were weak, without a clear direction", adds UBS.

UBS is playing the upside and is looking to buy downturns with stops at 1.0795, targeting a test of 1.0950 and a potential break of 1.1050 this week.

In terms of the AUD/USD, UBS notes that attention will focus on the RBA.

"In intraday we will sell around 0.7810 with a tight stop above it", advises UBS.