EUR/USD eyes a deeper recovery to resistance from 55-DMA at 1.1720 – Credit Suisse
EUR/USD has started to push higher. Analysts at Credit Suisse look for a deeper corrective rebound to 1.1671, then the 55-day average at 1.1720.
See: EUR/USD set to see further gains towards the 1.1750 level – SocGen
Support at 1.1608 to hold
“EUR/USD’s strong rebound suggests a more concerted but still corrective recovery can emerge with resistance seen next at the 38.2% retracement of the September/October fall and price resistance at 1.1663/71. Whilst this should be allowed to cap at first our bias is now for a break in due course for a move to what we look to be tougher resistance from the 55-day average at 1.1720. We would start to look for signs of a fresh peak here.”
“Support is seen at 1.1625/20 initially, then 1.1608 which now ideally holds to keep the immediate bias higher. Below 1.1571/66 though is needed to suggest the rebound is over for a fall back to 1.1529/24, then our 1.1495 first objective.”