EUR/USD: the pair may start to fall after the recent rally (Lloyds Bank)

Lloyds Bank notes that the EUR/USD could freeze under its immediate resistance and begin to fall back in the short term.

"Price action with new highs and then a downturn is the short-term risk, especially as 1.1850/70 is considered a strong resistance zone.

The area around 1.1745/1.1685 is the intraday support we are monitoring, where only a break below that would signal that a deeper correction is perhaps developing.

However the key support of the daily trend stands at 1.1605/1.14756.

Above 1.1870, the next medium-term resistance area is at 1.20/1.2350."