What is the technical outlook for EUR/USD?
Credit Suisse discusses EUR/USD technical outlook and flags a scope for top formation in the making.
“Despite the strength of the recovery we continue to look for the mid -March highs at 1.1990/92, with the 55 -day average also seen here at 1.1974 to ideally cap and for the risk to eventually turn lower again…Support is seen at 1.1928/23 initially, below which can see a move back to 1.1883, with a break below 1.1871/60 needed to see a small top complete, for a fall back to 1.1795 initially,” CS notes.
“A close above 1.1992/97 though would instead suggest we have seen a more important low established near the 1.1695 key support, clearing the way for further strength to resistance at 1.2022/27 next and then more importantly at the March high and 61.88% retracement of the 2021 fall,” CS adds.
