EUR/USD poised for further gains near term – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank, suggested the pair could extend the upside in the near term.

Key Quotes

“EUR/USD has eroded the near term resistance line and looks set for further gains near term. It has eroded the previous March high at 1.2447 and this targets the January and February highs at 1.2538/56 and the long term downtrend at 1.2651. Intraday signals are more positive and we will attempt to buy the dips. Initial support is the 1.2322 55 day ma”.

“This is made up of the midJanuary and current March lows and the 2017-2018 uptrend. A weekly close below here would add weight to the idea that the market recently topped at 1.2556”.

“Above the 2008-2018 resistance line at 1.2651 lies the 1.3190 50% retracement of the move down from 2008”.