EUR/USD: Only a rise above 1.1085 would jeapardise the short-term decline says Societe Generale bank

In a note published today, the SG reviews its EUR/USD forecast:

"The rebound of the pair ran into resistance at 1.1060/85 and the pair then declined to the graphic support at 1.0800, which represents 50% of the recent rise.

Weekly indicators remain in negative territory, suggesting that the increase should be limited. The threshold at 1.0960 constitutes immediate resistance, but only a move above 1.1060/80 would suggest the possibility of a stronger rise.

In this case, the first target would be at 1.1170, but in the short term, a decrease seems most likely.

Incidentally, a break below 1.08 would lead to the next retracement at 1.0730, and possibly 1.0650."