Flash: EUR/USD above 1.3800. Where to now? – Commerzbank and OCBC Bank

FXstreet.com (Edinburgh) -The single currency finally managed to leave behind the key resistance at 1.3800 on Thursday, pushing the EUR/USD beyond 1.3820 to post fresh 2013 highs despite the poor data from euro zone PMIs.

Emmanuel Ng, Strategist at OCBC Bank, commented, “we continue to expect a buy-dips posture to prevail for the pair. Near term resistance is expected towards 1.3825 while 1.3740 may offer initial support on dips”.

“The market recently surged into new 23 month highs. The next resistance is the top of the 3 month channel at 1.3833/42… The market is immediately bid above 1.3646, the 3rdOctober high. This guards the more important 1.3472 16thOctober low and the 1.3372 base of the 3 month up channel”, argued Karen Jones, Head of FICC Technical Analysis at Commerzbank.

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