EUR/USD to recover further - Commerzbank

Karen Jones, analyst at Commerzbank, points out that the EUR/USD pair has continued to hold over the 1.1176 recent low, and this week we should see it recover further.

Key Quotes

“The market has recently not sustained breaks to new lows, and we favour near term recovery. We suspect that it is trying to base but needs to do more work (we note the 13 count on the weekly chart and this adds weight to the idea of recovery).”

“Once above the 200 day ma at 1.1455, the cross should target the 1.1570 January high, together with the 55 week ma at 1.1568. Initial resistance is the 20 day ma at 1.1281.”

“Below 1.1185/75 (61.8% retracement) lies the 1.1110, the May 2017 low and the 1.0814/78.6% retracement.”