EUR/USD rejected at key 1.18 resistance – Société Générale
|EUR/USD failed to sustain a breakout above the 1.1800–1.1830 resistance zone and has since broken below its short-term rising trend line, shifting near-term risks toward a corrective decline with key support seen at the 200-day moving average around 1.1550–1.1590, Société Générale's FX analysts note.
Uptrend break signals fading momentum
"EUR/USD recently tested the upper boundary of its multi-month consolidation around 1.1800/1.1830, a key resistance zone, before pulling back sharply. The pair has broken below a short-term ascending trend line, signalling weakening upward momentum."
"The December low near 1.1590/1.1550, which coincides with the 200-DMA, is a crucial support. Failure to defend this zone could denote the risk of a deeper decline."
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.