EUR/USD holds modest gains through upper 1.07s. Economists at Scotiabank analyze the pair’s outlook.
Short-term bear trend resistance is very close
The EUR’s early December slide remains intact but momentum is weak and spot is showing some tentative signs of steadying around the low/mid 1.07 area.
The 50% Fibonacci retracement of the September/November rally sits at 1.0733.
Trend signals are edging a bit more EUR-bearish on the daily DMI, however, and EUR losses need to steady and reverse sooner rather than later to avert more bearish pressure building towards 1.0665.
Short-term bear trend resistance is very close (1.0775) but a push back through the low 1.08 area is needed to boost short-term technical momentum.
Source: https://www.fxstreet.com/news/eur-usd-a-push-back-through-the-low-108-area-is-needed-to-boost-short-term-technical-momentum-scotiabank-202312111216