EUR/USD: Easing lower, neutralising near term – Commerzbank

Karen Jones, analyst at Commerzbank, suggests that the EUR/USD will ideally start to stabilise after it continues to weigh on its 55 day moving average at 1.1384.

Key Quotes

“The market last week broke above the 1.1500 resistance but has not sustained the break, it is currently neutral. Dips lower should be contained by the near term uptrend at 1.1327. We favour a recovery to the 1.1602/23 200 day ma and mid October high and slightly longer term we target 1.1786, the 55 week ma.”

“Failure at 1.1267 will trigger losses to the 1.1216 recent low and the 61.8% Fibonacci retracement of the 2017-18 advance at 1.1186. Please note that we continue to regard the 1.1216 recent low as an interim low for the market.”