EUR/USD trades below the 200-Day Moving Average. Still, economists at Credit Suisse expect the pair to extend its recovery to the 38.2% retracement of the 2021-2022 fall at 1.0612.

Break below 1.0223 needed to mark a minor top

“EUR/USD is undergoing a concerted attempt to remove resistance from its key 200DMA, currently at 1.0380 but we continue to look for a sustained closing break in due course and for further strength to the 38.2% retracement of the entire 2021-2022 downtrend and late June high at 1.0612/15, which we then look to prove tougher resistance. Should strength directly extend though, we see resistance next at 1.0788.”

“Below 1.0223 is needed to mark a minor top to ease the immediate upside bias for a fall back to support at 1.0097/95.”