The EUR/USD has broken below the established uptrend from the 2020 low of 1.1858, supporting the Credit Suisse analyst team’s negative stance. Short-term supports can be found at 1.1824 and 1.1766.
“The EUR/USD pair is now testing below the significant uptrend from March last year and the recent low around 1.1851/47, raising the potential of a bigger trend turn, with weekly MACD also approaching outright bearish for the first time since 2020.”
“The next level of short-term support is at 1.1824, which is the 78.6 percent retracement of the March/May gain. The lower end of the converging range, now at 1.1766, should witness a break in due time. Medium-term support is still at 1.1703/1.1695, with only a weekly closing below this level indicating a medium-term trend change.”
“Resistance in the near term is at 1.1941/45. A closing above 1.2001, on the other hand, would reduce the risk of further weakness and maintain a broader sideways converging range.”/n
