EUR/USD eyes further consolidation and potentially still, a deeper recovery – Credit Suisse

EURUSD staged a strong recovery at the end of last week. The pair is expected to see further consolidation and potentially still, a deeper recovery with weekly MACD momentum having turned higher, analysts at Credit Suisse report.

Support is seen at 0.9886/83 initially with resistance seen at 0.9999

“With weekly MACD momentum having already crossed higher, this raises the prospect of further consolidation and indeed potentially a deeper recovery. Above 0.9999 would be seen to add weight to this view for strength back to the 1.0095 recent high.” 

“Beyond 1.0095 can see resistance next at the September high and 23.6% retracement of the 2021/2022 downtrend at 1.0198/1.0201, which we would look to cap at first.”

“Support is seen at 0.9898 initially, then the 13 and 55-day averages at 0.9886/83, which we look to try and hold. Below can see a fall back to 0.9840, then 0.9796.”