EUR/USD to plummet towards 1.1766 as breaks below the 2020 low at 1.1858 – Credit Suisse


EUR/USD has broken below the confirmed uptrend from the 2020 low at 1.1858, reinforcing the downside bias of the Credit Suisse analyst team. Next short-term supports are seen at 1.1824, then 1.1766

MACD momentum is close to turning outright bearish for the first time since 2020

“The EUR/USD pair is now testing below the important uptrend from March last year and the recent low at 1.1851/47, which would further increase the risk of a broader trend turn, with weekly MACD also getting closer to turning outright bearish for the first time since 2020.” 

“The next short-term support is seen at the 78.6% retracement of the March/May rally just below at 1.1824. A break in due course should see the lower end of the converging range, now at 1.1766. More important medium-term support remains at 1.1703/1.1695, with only a weekly close below here suggesting a medium term trend turn.”

“Near-term resistance moves to 1.1941/45. In contrast, a close above 1.2001 would instead ease the threat of further weakness and reinforce a broader sideways converging range.”

 

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