EUR/USD looks constructive above 1.2330 – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank, does not rule out a potential test of 1.2538/56 while above 1.2330.

Key Quotes

“EUR/USD has not maintained the break above the early March high at 1.2447 and there is scope for some slippage to the 1.2330 55 day ma. While above here a slight upside bias is preserved and we remain unable to rule out a retest of the January and February highs at 1.2538/56 and the long term downtrend at 1.2651”.

“This is made up of the midJanuary 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”.

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