EUR/USD: Relatively side lined near term – Commerzbank

Karen Jones, Analyst at Commerzbank, suggests that the EUR/USD market is relatively neutral after it has remained side lined near term as the pair is currently unable to maintain a leg higher or sustain a slide lower.

Key Quotes

“We maintain for now a slight upside bias. The market needs to overcome the November high at 1.1500 to alleviate immediate downside pressure and allow for gains to 1.1555/1.1622 (2018 downtrend and 16th October high). Dips lower will ideally be contained by the 1.1262 level – this guards the 1.1216 November low.”

“Below the 1.1216 November low lies the 61.8% Fibonacci retracement of the 2017-18 advance at 1.1186. Failure there would put the late May and June 2017 lows at 1.1119/10 on the cards.”