EURUSD is now very close to a series of retracement resistances around 1.0787/0822. Credit Suisse economists expect a turn lower from here, for a move to 1.0608/0599 initially, then 1.0350/41.
Resistance at 1.0839 is expected to be the limit
“EUR/USD has now seen the expected recovery to the 38.2% retracement of the February drop, the 55 day moving average and the mid-April lows at 1.0758/87. We expect a much tougher barrier here and that the medium-term downtrend reasserts itself from here, so now we’re tactically bearish again.”
“We note another major resistance just above 1.0822/39, which includes uptrend from 2017, where we look for a solid top.”
“Support moves to 1.0642, then 1.0608/0599, below which it would confirm risks have turned lower again to retest 1.0350/41.”
“Above 1.0822/39 we don’t see a solid bottom, however it would trigger a deeper recovery than expected, with the next level at 1.0923/37.”
Source: Fx Street
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