EUR/USD: Scope for losses to extend much more should be limited – Scotiabank

EUR/USD slips off earlier high to retest support in low 1.11s. Economists at Scotiabank analyze the pair’s outlook.

Underlying trend signals remain bullish on the daily and weekly oscillators

The EUR’s short-term technical undertone remains soft after losses picked up yesterday but Thursday’s low is holding the base of the range, at least for now, and underlying trend signals remain bullish on the daily and weekly oscillators. 

Scope for EUR losses to extend much more should be limited. 

We spot retracement support (38.2% of the July rally) at 1.1110. Resistance (minor bull trigger) is 1.1155.