Forex Insider Daily Update 25 June 2017

Major Bank Daily Position

GBP/USD - UOB - SHORT Position - From 1.2735 - Hit Profit-Stop at 1.2720 (S/T) +15 pips

EUR/USD - Citi - LONG Position - From 1.1192 - Closed at market at 1.1202 (TOTW-M/T) +10 pips

Morgan Stanley

Ms maintains holding the same strategy of buying USD tactically on dipd and selling GBP on rallies.

EUR/USD Long limit order 1.103 We expect USD to rally against EUR as the market reprices Fed expectations. We would use rally in USD to sell vs the EUR We would buy dips to 1.103, with the next resistance area around 1.137

EUR/GBP Long limit order 0.852 We think there is one more leg down in the EUR before we use opportunity to buy. We think there is also one final leg up in GBP as news flow and headlines continue to point to a soft Brexit stance.

USD/CAD Long limit order 1.316 The recent rally in Cad response to the hawkish speech by Deputy Governor Wilkins has pushed USD/CAD near attractive buying levels. Rates markets and CAD have in large part adjusted to these new policy expectations.

CACIB

We note markets already short CAD while long AUD and NZD. Market positioning could thus make carry currencies rather vulnerable to a potential escalation of risk aversion on the back of a persistant drop in oil.

CACIB notes next week’s inflation data out of the Eurozone and Japan should underpin the ECB and BOJ’s cautious outlook but it may not slow down the countdown to QE taper.

In all, USD, EUR and JPY could outperform G10 commodity and carry currencies, especially if market sentiment deteriorates from here.

We stick with longs in USD/CAD and AUD/NZD.

Barclays

We expect the maximum uncertainity to bite in the coming quarter. From there, reduction in prevailing undervaluation and increased clarity around the negotiations support GBP appreciation.

Barclays targets GBP/USD at 1.25 by the end of Q3, and 1.29 end of year. 

Note: From Monday, there will be several updates daily so you will get the positions update even faster, not based on daily update.