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According to Karen Jones, Head of FICC Technical Analysis at Commerzbank, the pair’s stance remains offered while below the 1.1746/50 band.

Key Quotes

EUR/USD his breaking down from its converging range. Failure at 1.1575 (19th July low) will target the 1.1510/08 recent lows and below here lies the 200 week ma at 1.1373. The market is directly offered below the highs of the last 2 weeks at 1.1746/50. This looks like a potential symmetrical triangle – they tend to break in the direction of the preceding trend and moves tend to be aggressive!”.

“On the topside the key level is 1.1790, the July peak, a recovery above 1.1790 will target 1.1855. Above 1.1855 we look for a deeper retracement to the 1.1939 55 week ma, with scope for the 1.1978 200 day ma, where we suspect that it will fail”.