EUR/USD further upside lies above 1.2367 – Commerzbank

According to Karen Jones, Head of FICC Technical Analysis at Commerzbank, spot needs to clear 1.2367 in order to attempt a test of the area above the 1.2400 handle.

Key Quotes

“EUR/USD is side-lined but has recovered in the range to test the near term resistance line at 1.2367. It will need to overcome the 1.2367 resistance line for a shot at last week’s high at 1.2413 ahead of the current March high at 1.2447. If the 1.2447 level were to unexpectedly be exceeded, the January and February highs at 1.2538/56 would be back in the picture”.

“Key support remains the 1.2165/55 area. This is made up of the mid-January and current March lows and the 2017-2018 uptrend. A weekly close below here would add weight to the idea that the market recently topped at 1.2556. The market will stay offered while capped by the resistance line at 1.2367”.

“Above the 2008-2018 resistance line at 1.2651 lies the 1.3190 50% retracement of the move down from 2008”.