EUR/USD could see gains extended to 1.2000/50 – Soctiabank

FX Strategists at Scotiabank noted the pair could attempt a rebound to the area beyond the 1.2000 handle.

Key Quotes

“EURUSD has found a bit of a bid in the past few hours after reaching the low 1.18 area in early European dealing”.

“The market has seen a sustained – and largely correction-free – run lower since the mid-April peak above 1.24 and the sell-off is looking a bit stretched now”.

“Intraday price action suggests a bullish outside range formation on the 6- hour chart. We expect gains through short-term trend resistance at 1.1895/00 will trigger more, corrective gains in the short-term towards the 1.2000/50 range”.