EUR/USD: BTMU aiming for return to annual low in the short-term

BTMU believes that the EUR/USD will likely fall on the forex, towards the yearly low at 1.0825.

"The euro remains under downward pressure against the dollar, moving closer to the lower limit of the narrow annual range.

The ECB's signal yesterday contributed to a more volatile EUR, even though we feel that the message is neutral and broadly in line with expectations. The volatile EUR reaction clearly shows that traders are getting nervous and do not like the political uncertainty of the ECB. The central bank did not give more clarity on the future of QE at their meeting yesterday. Important decisions are likely to be taken in December.

The main factor for the euro next week will be the euro zone's PMIs, which recently signaled a further slowdown in growth.

The resumption of the USD's upward momentum should not be held back for the moment, even if reinforcement seems to be going beyond the fundamentals. Next week, there will be no major US publications."