EUR/USD: Downside pressure – Commerzbank

Karen Jones, analyst at Commerzbank, suggests that EUR/USD remains on course for the 1.1027 recent low and the base of its down channel at 1.0948.

Key Quotes

“Below here lies the 78.6% retracement at 1.0814. Nearby resistance is the near term downtrend at 1.1166 and the 200 day ma at 1.1277, but key resistance is 1.1339/58, the 2018-2019 down channel and the 55 week ma. A weekly close above this latter level is needed for us to adopt an outright bullish stance.”

“The market will need to regain the 55 week ma and channel at 1.1339/58 to generate upside interest.”