EUR/USD: Cross above 1.1180 essential to affirm a retest of previous highs – SocGen

EUR/USD recovers to 1.11. Economists at Société Générale analyze the pair’s technical outlook.

Phase of decline could extend on failure to defend 1.1000/1.0970

A bounce is underway; 1.1180, the 61.8% retracement of the recent pullback is the first resistance. Cross above this hurdle would be essential to affirm a retest of previous highs. 

In case the pair fails to defend 1.1000/1.0970, the phase of decline could extend towards a multi-month trend line near 1.0880 and 1.0785.

See – EUR/USD: 1.1150 looks good intra-day resistance – ING