EUR/USD risks a test of 1.0950 – Commerzbank

According to Karen Jones, Head of FICC Technical Analysis at Commerzbank, a breach of the 1.1080 region could allow for a new visit to the mid-1.0900s.

Key Quotes

“EUR/USD remains on the defensive following its failure last week ahead of the 2014-2015 resistance line at 1.1296. Support offered by the 1.1078/80, 20 and 200 day moving averages is being eroded and failure here will retarget the 1.0950 5 month uptrend”.

“Only below 1.0950 will target 1.0821, the March low, and then the 31 year support line at 1.0642. Note the 1.0457 March 2015 low is also found in this vicinity together with the 1.0574 channel”.