EUR/USD near term stance shifted to bearish – Scotiabank

In opinion of FX Strategists at Scotiabank, the outlook on the pair has now shifted to bearish in the short-term horizon.

Key Quotes

“Intraday patterns look soft after the heavy selling seen through the European morning; the 6-hour charts reveal a bearish outside range candle forming currently and, given the proximity of the broader range ceiling seen since the start of the year 1.2535/55 area, the EUR’s turn lower risks extending a little more at least”.

“We see support at 1.2400 as vulnerable in our session. Retracement support below the figure emerges at 1.2386 and 1.2358”.