EUR/USD: Scope for a test of resistance from the 55-DMA at 1.1202 – Credit Suisse

EUR/USD has staged a strong recovery. A break above 1.1151 would suggest the recovery can extend to its 55-day moving average (DMA) at 1.1202, but with a cap looked for here, in the view of analysts at Credit Suisse.

Support is seen at 1.0974/44

“We see scope for a break above 1.1151 for a test of the falling 55-DMA at 1.1202, but we look for this to then ideally cap for an eventual resumption of the broader downtrend.” 

“A close above 1.1202 would be the first real sign we may have confirmation we have seen a more important low at our 1.0825 core objective and the now confirmed uptrend from 2017.” 

“Support is seen at 1.1071 initially, below which can see a fall back to 1.1039/31, with fresh buyers expected here. Below 1.0974/44 is needed to mark an important turn lower again.”