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EUR/USD maintains a bullish “reversal day” after holding key price support at 1.1697 and although the threat of a top can still not be ruled out, the immediate bias stays seen higher for a retest on the top of the range at 1.1916/26, according to analysts at Credit Suisse.

Key quotes

“Whilst the threat of a top can still not be ignored, at the present, it remains more likely we are seeing a high-level consolidation phase prior to the core uptrend eventually resuming.” 

“Whilst support at 1.1781 holds the immediate risk should stay higher in the range with resistance seen at 1.1865 initially, then more importantly at the recent highs and downward sloping trendline/“neckline” from its early 2018 top at 1.1916/26. An eventual move above here should reassert the core uptrend with resistance seen next at 1.1997 and then our 1.2145/55 next major resistance.” 

“Below 1.1781 would warn of further range trading with support seen at 1.1755 next, below which can see a move back to 1.1710. Only below 1.1697 would see a top established to warn of a more concerted setback with support then seen initially at 1.1630/22 – the 38.2% retracement of the rally from late June.”