EUR/USD upside capped around 1.0960 – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted the 1.0960 area keeps limiting EUR/USD's upside for the time being.

Key Quotes

“The three month resistance line, now at 1.0963, continues to cap as expected, note that the 55 week ma at 1.0929 is also found here, together with a TD perfected set up on the daily chart, we are alert to the idea of failure here. This leaves the 200 day moving average at 1.0835 still in focus”.

“For a decline to be seen a fall below Friday’s low at 1.0683 will have to unfold, below which lies the 55 day moving average at 1.0695 and the 2017 support line at 1.0627. Failure at nearby Fibonacci support at 1.0555 should be enough to trigger weakness to the 1.0494 February low, then the 1.0340 January low. Our bias remains toppish”.