EUR/CZK to extend its decline to 24.75 on a break below 25.00 – SocGen

EUR/CZK has regained downward momentum. The pair is set to challenge the 25.12/00 support zone and a break below here would open up 24.75, economists at Société Générale report. 

Critical support is seen at 25.12/25.00

“EUR/CZK is drifting towards potential support of 25.12/25.00 representing the lower limit of a descending channel drawn since last year. This could act as an interim trough, however, signals of a meaningful rebound are still not visible.”

“A break above recent peak at 25.75 will be essential for affirming an extended up-move.” 

“Below 25.00, next significant level could be at low of 2020 near 24.75.”

See: EUR/CZK looks for further downside to the 24.80 mark – Credit Suisse