EUR/USD: Dip below 1.11 to clear the way for substantial losses to 1.10 – Scotiabank

In the view of economists at Scotiabank, the EUR/USD pair will remain on a path toward 1.10 as price action points to continued losses to a test of 1.11.

Resistance is located at 1.1150/55

“Support at the intraday low of 1.1120/25 will stand ahead of the figure zone, after which point there are no obvious markers to prevent a decline to 1.10.” 

“The week’s losses have left the EUR just shy of oversold on the RSI which may help to ease the currency’s slide and see it settle into a 1.1150/200 consolidation band.” 

“Resistance is 1.1150/55 followed by the 1.12 area.”