EUR/USD: Defending 1.1700 is key to see a rebound towards 1.1835 – SocGen

EUR/USD may have a chance to rebound towards the 1.1835 mark. On the flip side, holding above 1.17 is critical to avoid a deeper decline towards 1.1610, economists at Société Générale report.

See: EUR/USD to post a small rebound before resuming its downfall to 1.1575 – Commerzbank

Support 1.1700, resistance 1.1835

“EUR/USD has retested the low of March at 1.1700 where it has formed a Bullish Engulfing candlestick. The pattern denotes possibility of an initial rebound towards 1.1835, the 23.6% retracement from May.”

“Recent peak of 1.1900 could be an important resistance near-term.”

“Defending 1.1700 would be crucial to avert continuation in decline. Should this break, next potential objectives are likely to be at 1.1640 and September/November 2020 levels of 1.1610.”