EUR/USD to plummet into the 1.11s on a break below 1.14 – Scotiabank

EUR/USD seems to have gone into a consolidation phase. Still, economists at Scotiabank think a breach of 1.15 is only a matter of time with a test of 1.14 following relatively quickly.

EUR/USD at risk of falling below 1.15

“The EUR/USD traded narrowly in a <30pips range with decent support in the 1.1550 zone on dips while the 1.1575 area stands as resistance.” 

“The EUR’s steep swings over the past two weeks have left it a clear risk of a test – and cross – of 1.15 amid continued downward pressure since late-May. A cross under the figure sees limited support until 1.1422 and the 1.14 area and then losses could quickly extend into the 1.11s.” 

“The 1.16 zone is resistance followed by the mid-figure area that stands as downtrend resistance.”