EUR/USD to eventually move above its YTD high at 1.1035 for a test of 1.1185/1.1275 – Credit Suisse

Economists at Credit Suisse look for EUR/USD to eventually see a clear and sustained break above its downtrend from May 2021 and 50% retracement of the 2021/2022 bear trend for strength back to the 1.1035 YTD high, then resistance at 1.1185/1.1275.

Initial support aligns at 1.0788

“EUR/USD remains well supported and is seeing a fresh and concerted retest of key resistance from the 50% retracement of the 2021/2022 fall and downtrend from May 2021 at 1.0921/44. We continue to look for an eventual sustained break higher for a retest of the 1.1035 YTD high. Whilst this should continue to be respected, we stay bullish for an eventual test of 1.1185/1.1275 – the 61.8% retracement and March 2022 high.”

“Support is seen at 1.0788 initially, with 1.0714 ideally still holding. A break would warn of a fall back to the uptrend from last September, currently at 1.0630.”