EUR/USD: beware of risks of a euro rebound on the forex before the resumption of the decline (Lloyds Bank)

Lloyds Bank maintains a bearish bias on the EUR/USD but sees bullish risks in the very short term.

"Our main bias is for a decline of the EUR/USD towards 1.15.

However, while the pair remains in range between 1.1670 and 1.1880, the fact that we have rebounded since the support at the 1.1740/15 level increases the risk of a stronger correction. A move above 1.1880 would suggest an extension towards 1.1950-1.20 where we will look for new signs of a top.

A break below 1.1715 and then 1.1670 would be more directly bearish in terms of a move in the direction of our target."