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EUR/USD: More gains ahead in the medium term – Scotiabank

EUR/USD holds a tight range above 1.12. Economists at Scotiabank analyze the pair’s outlook.

Support seen at 1.1180/00

The EUR is firm and has not backed off last week’s highs in any significant way. Marginal new cycle highs today, limited losses ahead of 1.12 and bullish trend indicators keep the near-term focus higher. 

A strong weekly close Friday (above retracement resistance and above the EUR’s 200-Week Moving Average) signal more gains ahead in the medium term (towards 1.15/16). 

Support is 1.1180/00.

See – EUR/USD: Resistance at 1.1275 to cap at first, ahead of further strength to 1.1703/48 – Credit Suisse

 

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