EUR/USD is reaching tougher resistance after seeing an upside correction. Nonetheless, the pair is set to remain under pressure while below the 1.2014 level, Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, reports.
Above 1.1990/1.2014 lies the March high at 1.2243
“EUR/USD is correcting higher and shortly it will encounter the 38.2% retracement at 1.1950 and the more important 1.1990/1.2014 pivot. The market will need to regain this latter level in order to cast attention back to the 1.2243 March high.”
“So far the rally remains just a correction higher and failure in the 1.950-1.2014 band will keep attention on the downside.”
“Nearby support lies 1.1704/1.1695. Below 1.1695 we have TD support at 1.1648 and the previous 2008- 2020 downtrend lies at 1.1570 and we are reversing ahead of here.”