EUR/USD: further pullback expected below 1.0683 – Commerzbank

Senior Analyst at Commerzbank Axel Rudolph sees the pair’s downside gathering traction on a breakdown of 1.0683.

Key Quotes

“The four month resistance line, now at 1.0961, capped EUR/USD as expected with the 200 day moving average at 1.0835 still being in focus”.

“For a decline to be seen a fall below Friday’s low at 1.0683 will have to unfold, below which lies the 55 day moving average at 1.0688 and the 2017 support line at 1.0623. Failure at nearby Fibonacci support at 1.0555 should be enough to trigger weakness to the 1.0494 February low, then the 1.0340 January low. Our bias remains toppish”.

“A close above the three month resistance line at 1.0961 would put the January 2015 low at 1.1098 on the agenda”.