EUR/HUF pierced 390 on Tuesday. Economists at Société Générale analyze the pair’s outlook.

The Forint carry trade is unravelling fast amid the MNB’s normalisation drive

The Forint carry trade, a popular theme until recently, is unravelling fast amid the MNB’s normalisation drive. 

A retest of the March peak of 402.50 could be next in line after the pair breached the 200-Day Moving Average – situated at 386.44 convincingly earlier this week.

See – EUR/HUF: EU relations and monetary policy to remain fundamental negative factors for the Forint – Commerzbank