FXStreet reports that the Credit Suisse analyst team suggests that while below 1.2208/18, the EUR/USD pair can keep the immediate risk lower for further weakness to 1.2053/51.

“Early strength in EUR/USD yesterday was capped at price resistance at 1.2208/18 and with daily RSI and MACD momentum trending lower we maintain our immediate albeit mild defensive bias.”

“We continue to look for further weakness within the broader sideways range with support seen at 1.2144/34 initially, below which should see a fall back to 1.2103, then 1.2053/51 – the mid-May low and 38.2% retracement of the rally from late March and now also the rising 55-day average. Our bias is to then look for a floor here. A break though would expose the 200-day average and May low at 1.1989/85.”