EUR/USD could attempt to stabilize around 1.1830 – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank, sees the pair attempting to consolidate in the 1.1830 area.

Key Quotes

“EUR/USD has sold off to, tested and held the 55 week moving average at 1.1830, we would expect to see the currency pair attempt to stabilise here. In addition we note the 13 count on the 240 minute chart, which also suggests some profit taking here”.

“We would allow for a rally into the 23.6% and 38.2% retracement band. This is located approximately 1.1962/1.2050. This ties in well with the November and early December 2017 highs at 1.1940/61. The cross will remain under pressure and the 200 day ma at 1.2019”.

“Longer term we will allow for the May 2016 high at 1.1616 to be reached and the 1.1553 November 2017 low”.