17 Feb 2015
What’s the sentiment around EUR/USD today? – Commerzbank and Danske Bank
FXStreet (Edinburgh) - In the aftermath of the Greece-Eurogroup meeting, EUR/USD is back to the mid-1.1300s, pending further news from Greece and the ZEW Survey results.
Karen Jones, Head of FICC Technical Analysis at Commerzbank, suggested, “The Elliott wave count on the daily chart is pointing to a potential 1.1703/86 correction (double Fibonacci retracement) and even potentially 1.2085, but intraday counts are more negative. They are suggesting resumption of the downmove”.
In addition, Chief Analyst at Danske Bank Kasper Kirkegaard noted “we see room for another round of EUR weakness driven by omnipresent political risks (Russia/Ukraine and Greece) and downside to money-market rates when the ECB starts QE in March. We target EUR/USD at 1.11 in 3M, 1.10 in 6M and then higher again to 1.12 in 12M on the back of a eurozone recovery and USD strength losing momentum post a re-pricing of the Fed hiking cycle”.
Karen Jones, Head of FICC Technical Analysis at Commerzbank, suggested, “The Elliott wave count on the daily chart is pointing to a potential 1.1703/86 correction (double Fibonacci retracement) and even potentially 1.2085, but intraday counts are more negative. They are suggesting resumption of the downmove”.
In addition, Chief Analyst at Danske Bank Kasper Kirkegaard noted “we see room for another round of EUR weakness driven by omnipresent political risks (Russia/Ukraine and Greece) and downside to money-market rates when the ECB starts QE in March. We target EUR/USD at 1.11 in 3M, 1.10 in 6M and then higher again to 1.12 in 12M on the back of a eurozone recovery and USD strength losing momentum post a re-pricing of the Fed hiking cycle”.