Economists at Société Générale analyze EUR/USD technical outlook.

Next important support zone is located at 1.0510/1.0480

EUR/USD has extended its phase of correction towards an interim trough near 1.0630. The down move has paused however a meaningful bounce has not yet materialized; 1.0860/1.0900, the 61.8% retracement of the down move is likely to be a short-term resistance zone. Failure to overcome it could mean possibility of one more down leg.  

Next important support zone is located at 1.0510/1.0480 representing low of March and the 200-DMA. In case the pair fails to defend it, there would be risk of a larger downtrend.