EUR/USD to tackle medium-term support at 1.1703/1.1695 – Credit Suisse

EUR/USD is falling sharply post payrolls as the USD also strengthens. Analysts at Credit Suisse look for a test of medium-term support at 1.1703/1.1695.

See – EUR/USD: Scope for a nosedive to the 1.1575 mark – Commerzbank

Key resistance moves to 1.1901/10

“We look for a clear break of the 1.1752 recent low for a test of medium-term support at 1.1703/1.1695. Although a rebound from here should be allowed for our broader bias is for an eventual clear and sustained break in due course.

“A break below 1.1703/1.1695 would mark the completion of a large and important bearish ‘head & shoulders top’ to mark a significant change of trend lower. We would then see initially at 1.1662 ahead of the September and November 2020 lows at 1.1612/04, which we would look to hold at first.” 

“Big picture, we would look for weakness to extend to the key 1.1495 high posted in March 2020.”

“Resistance moves to 1.1789 initially, then 1.1810, with 1.1831 ideally capping to keep the immediate risk lower. However, we shall maintain a tactical bearish bias whilst below 1.1910.”