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Once again EUR/PLN is at a critical juncture. After rallying to 4.6340, EUR/PLN has entered a consolidation phase forming a descending triangle, which is considered as a continuation pattern, per Rabobank.

Key quotes

“Any indication that it may take much longer than currently anticipated for the coronavirus pandemic to peak would be a bullish signal for EUR/PLN.”

“We remain of the view that it is too early to declare that EUR/PLN has peaked and the price action over the past week or so has not proved us wrong – forming the descending triangle, which favours a break higher.”

“To declare that the bias is shifting to the downside, EUR/PLN would have to break below the support area around 4.52/51. As long as EUR/PLN continues to trade above it, another leg higher towards the Global Financial Crisis high at 4.9307 will remain our base line scenario for the 1-3 month horizon.”