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EUR/USD likely to be capped by rate divergence

Wednesday, March 25, 2015 8:41 AM UTC

US/German 2 year bond spread stable above 80bp
Likely to ease pressure on recent bias to trim EUR/USD shorts
Since then, 15bp tightening has reduced EUR/USD's downside momentum
Trend still very strong and good opportunity to sell EUR/USD strength

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EUR/USD likely to be capped by rate divergence

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