Above support from the 55-Day Moving Average at 1.0887, EUR/USD can maintain a slight upside bias in the broader sideways range, analysts at Credit Suisse report.

Euro may still be seeing the formation of a broader topping process

EUR/USD has managed to stabilize above support from its 55-DMA, now at 1.0887 and although we maintain our view we may still be seeing the formation of a broader topping process, for now, this sees a slight upside bias maintained within the broader sideways range. 

Above 1.0991/98 is needed to clear the way for strength back to resistance next at 1.1013 ahead of 1.1056 and then more importantly at the YTD highs at 1.1094/97. With the top of the trend channel for the year seen not far above 1.1127, we look for a fresh top here.

Below 1.0887 is needed to ease the immediate upside bias for a retreat back to support at 1.0851/41. Below here should see a fall back to 1.0813/03, with more important support seen at 1.0753/32.