EUR/USD: Pivotal near term resistance eroded – Commerzbank

Karen Jones, analyst at Commerzbank, explains that EUR/USD pair has bounced sharply higher, and their attention is on resistance at 1.1285 and the 200 day ma at 1.1298.

Key Quotes

“Key resistance is 1.1360/77, the 2018-2019 down channel and the 55 week ma. A weekly close above this latter level would cause us to adopt an outright bullish stance.”

“Dips lower are likely to find some support circa 1.1150/06. Key support is the 1.0967 2018-2019 support line and below here lies the 78.6% retracement at 1.0814/78.6% retracement.”

“The market will need to regain the 55 week ma and channel at 1.1360/77 to generate upside interest.”