EUR/USD: Downside risks below 1.1120 – FXStreet

FXStreet (Barcelona) – Valeria Bednarik, Chief Analyst at FXStreet, sees downside risks ahead for EUR/USD if the pair breaks below the support at 1.1120.

Key Quotes

EURUSD is holding just under the 1.12 figure while European equities are making a modest comeback. Trading the headlines amidst the Greek drama is difficult, but in general we favor being long JPY.”

“The EUR/USD pair has fell down to 1.1133 this Tuesday, as Greece won’t pay the IMF the maturities of June, whilst the first polls on the Greek referendum show that the NO is slightly up. But market talks of a last minute deal between the country and its creditors have triggered a bounce back towards the 1.1200 level, where it stands. High levels of uncertainty continue to weigh in the financial markets that are still looking for direction.”

“In the meantime, the EUR/USD 1 hour chart shows that the price is being capped by a flat 20 SMA, whilst the technical indicators aim higher below their mid-lines, limiting slides in the short term.”

“In the 4 hours chart, a neutral stance prevails, with the risk turning towards the downside on a break below 1.1120.”

“Support levels: 1.1160 1.1120 1.1080”

“Resistance levels: 1.1210 1.1245 1.1290”

Valeria Bednarik, Chief Analyst at FXStreet, sees downside risks ahead for EUR/USD if the pair breaks below the support at 1.1120.

(Market News Provided by FXstreet)