EUR/USD still looks vulnerable - Scotiabank

Analysts at Scotiabank explained that the euro appears vulnerable in the seasonally bearish month of November.

Key Quotes:

"A descending trend channel has formed in the period since early September, and EUR has weakened for two consecutive months. Interest rate differentials are a headwind, and speculative bullish EUR positioning is extended. Sentiment in the options market is neutral across shorter time horizons and modestly bearish beyond six months. We maintain a relatively neutral EUR forecast with a year-end 2017 target of 1.18"