EUR/USD: Scotiabank remains prudent regarding the euro's recent bullish trend

Scotiabank notes a risk that the EUR/USD's trend wears off on the forex.

"The EUR/USD remains flat since Friday's close with a remarkable lack of response to the publication of the good euro area CPI.

Interest rate spreads remain stable but the risks linked to published reports will remain high this week as we expect the euro zone's Q2 GDP today, as well as the SMI figures.

Bullish positioning remains high, with buying levels close to historical highs.

In terms of technical analysis, the bullish trend and momentum indicators suggest a shortness of breath, and resistance has been found above 1.1750. Support is expected towards the bottom of the weekly range at 1.1620."