EUR/USD faces a potential test of 1.1066 – Commerzbank

Pablo Piovano FXStreet

In light of the recent price action, EUR/USD could extend the leg lower to the 1.1066 level, noted Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank.

Key Quotes

“EUR/USD came under increasing downside pressure on Friday and we would allow for a deeper sell off to the uptrend at 1.1066. Given that the intraday Elliott wave signals have turned negative, the risk has increased for a break lower this would target the 1.0981 29th November low and neutralise the immediate outlook.”

“Overhead the market is facing tough resistance at 1.1184-1.1240 – namely the 55 week ma, the 2019-2020 down channel and the recent high. This guards the 200 week ma at 1.1359, which continues to represent a critical break point medium term.”

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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