EUR/USD: Bouncing from the near term uptrend - Commerzbank

Karen Jones, analyst at Commerzbank, points out that the EUR/USD has tested and bounced from the 1.1317 support line and they are looking for further gains to the November high at 1.1500 and 1.1530/1.1622 (the 2018 downtrend and 16th October high).

Key Quotes

“This will need to be overcome to negate downside pressure. Dips lower will ideally be contained by 1.1300 and while above here the market will be viewed as bid. This guards the 1.1216 November low.”

“Below the 1.1216 November low lies the 61.8% Fibonacci retracement of the 2017-18 advance at 1.1186. Failure there would put the late May and June 2017 lows at 1.1119/10 on the cards.”

“Long term trend (1-3 months): A rise above the recent high at 1.1625 would confirm a trend reversal and put the 55 week moving average at 1.1836 back on the cards.”