EUR/USD rallies expected to struggle at 1.1280/1.1332 – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank, sees bullish attempts in the pair losing momentum in the 1.1280/1.1332 band.

Key Quotes

“EUR/USD continues to recover just ahead of the 1.1060/55 December high, the March 16 low and the channel, this was our short term target and we are not surprised to see it hold the initial test”.

“We note that the accelerated downtrend has been eroded. Very near term we look for rallies to remain capped by 1.1280/1.1332, but it is possible that the rally higher is already likely to struggle we note its has failed to make any impression on its first resistance at 1.1216 the 25th April low”.

“The base of the 6 month channel is expected to act as the break down point to the second channel at 1.0562”.