Credit Suisse maintains a core bullish bias on EUR/USD targeting 1.2145 in the near-term.
"We look for a resumption of the core bull trend here. Immediate resistance is seen at the potential near -term trendline from late July at 1.2014 and above here is needed to see the immediate momentum stay higher with resistance seen at 1.2050/61 next, ahead of our core and long -held objective of 1.2145/55 - the “neckline” to the 2018 top and 78.6% retracement of the 2018/2020 bear trend. We look for this to then cap at first for a fresh consolidation phase," CS notes.
Big picture though we continue to see the trend higher and above 1.2155 in due course can see the “measured base objective” at 1.2355 and eventually we think 1.2518/98, which we expect to remain a major barrier.
Support moves to 1.1966 initially, then 1.1925/22, with 1.1884 now ideally holding to keep the immediate risk higher. Below can see a deeper pullback, but with support then expected at 1.1850," CS adds.