EUR/USD: More drift may develop below 1.0665 – Scotiabank

EUR/USD drops. Economists at Scotiabank analyze the pair’s outlook.

Bullish DMIs should curb scope for losses

More drift in EUR/USD may develop below 1.0665, the 38.2% retracement of the rebound in the pair from last week’s low at 1.0517.

Trend momentum remains bullishly aligned on the intraday and daily studies but these signals have weakened with the EUR’s drift lower. 

Bullish DMIs should curb scope for EUR losses, at least for now. 

Support should firm up in the low 1.06s. 

Resistance is 1.0700/1.0710 and 1.0750.