EUR/USD stays offered below 1.1877 – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank, suggested the pair should remain offered while below 1.1877.

Key Quotes

“EUR/USD has eroded its 78.6% retracement at 1.1767. The market stays immediately offered below the accelerated downtrend at 1.1877. A close below 1.1767 will target 1.1717/12, the 1.1616 May 2016 high and then the 1.1553 November low with the 200 week ma at 1.1442 our ultimate goal. A negative bias will remain entrenched below the 1.1996 14th May high. There is a note of caution as we note the 13 count on the daily chart and would therefore prefer to sell the rallies”.

“The 200 day ma at 1.2021guards the 1.2092 September 2017 high and the 1.2155 March low and while capped here we maintain an immediate bearish bias”.

“Our overall bearish bias is maintained while capped by the 2008-2018 resistance line at 1.2593”.