EUR/USD could slip back to 1.1100 – Commerzbank

According to Karen Jones, Head of FICC Technical Analysis at Commerzbank, the pair’s decline could extend to the 1.1100 area.

Key Quotes

“EUR/USD inched higher last week following its break of the 1.1273 2014-2016 resistance line, this has not been exactly a dynamic break higher and the market appears to have already stalled at 1.1366”.

“Intraday rallies are indicated to be likely to struggle 1.1310 and we suspect that the market will ease back to the 1.1100 200 day ma. Above 1.1380 would introduce scope to 1.1429/95, the recent high and pivot point, where it is expected to fail”.

“Initial support is 1.1172, the 20 day ma, and only below here would alleviate immediate upside pressure for a slide to 1.1100 200 day ma and the 1.09601 5 month support line”.