EUR/USD: Close below 1.1695 to confirm a major top, next support seen at 1.1663 – Credit Suisse

FXStreet Insights Team FXStreet

EUR/USD has removed support at 1.1757/26 to turn the spotlight back on major support at 1.1695. A sustained move below here should finally establish a large “head and shoulders” top to expose support at 1.1495, analysts at Credit Suisse report.

See: EUR/USD set to challenge the 1.1665 August low – SocGen

Resistance is seen at 1.1751 initially

“Key support remains seen at the 38.2% retracement of the 2020/2021 uptrend at 1.1695, a clear and closing break below which (ideally on a weekly basis) should confirm a major top. Assuming we then also see the 1.1663 August low removed, which would be our base case we would look for a more meaningful turn lower with support seen next at 1.1612/04 and eventually back at 1.1495/93.”

“Resistance is seen at 1.1751 initially, with the immediate risk seen staying lower whilst below the aforementioned 13 and 55-day averages and high from Friday at 1.1789/99.”

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

GBP/USD breaches below 1.3600, weekly troughs

GBP/USD resumes its decline, reversing Tuesday’s bullish attempt and breaking below 1.3600 the figure on Wednesday. Cable’s marked pullback follows a firm advance in the Greenback as investors continue to assess latest US PCE and GDP data as well as the geopolitical landscape.

EUR/USD challenges 1.1650, five-day lows

EUR/USD now accelerates its losses and recedes to the area of multi-day troughs around 1.1650 on Wednesday. The pair’s retracement comes on the back of a solid performance of the US Dollar in the wake of the release of July PCE data and another revision of Q2 GDP figures.

Gold retargets $4,600; US Dollar regains pace

Gold now faces some renewed downside pressure and seems to challenge the key $4,600 mark per troy ounce on Tuesday. That said, the yellow metal’s correction comes after three daily upticks in a row, fading at the same time Tuesday’s move to fresh tops around $4,700. The stronger US Dollar and a decent rebound in US Treasury yields across the curve continue to weigh on bullion.

Bitcoin recovery stalls near $80,000 as ETF inflows mount, whale demand strengthens

Bitcoin price is trading in the green on Wednesday, holding above $78,000 while struggling to extend its recovery above the $80,000 mark. Institutional demand is strengthening, with steady inflows and BlackRock’s tax-deferred Bitcoin-to-ETF swap volume reaching $5 billion.

Nvidia: How will the company perform as its switches from a chip maker to an AI finance house?

The main event for markets this week takes place this evening, after US markets close. Nvidia, the AI giant, will report results for last quarter. Another monster report is expected. Revenues could come in above $92bn, and earnings per share could come in at $2.09.

Kevin Warsh’s Jackson Hole dilemma: Say too much, too little, or just enough

Kevin Warsh is preparing to deliver his first Jackson Hole speech as Federal Reserve (Fed) Chair on Friday, and expectations extend well beyond whether interest rates will be raised or left unchanged in September.