Economists at Citibank maintain an overall bearish bias on the EUR/USD pair. However, there is a scope for short-term spikes.

Risks of short-term corrections rise

“We warn risks of a short-term retracement are rising amidst the sell-off and bearish sentiment. We still remain bearish EUR/USD.”

“A close below support between 1.0341-1.0350 (2017 & 2022 lows respectively) on a weekly basis, if seen, could suggest an extension lower below parity with intermediate support between 1.0073-1.0108 (long-term 76.4% Fibonacci & July 1999 low).”