EUR/USD risks a correction lower near term – Commerzbank

According to Karen Jones, Head of FICC Technical Analysis at Commerzbank, spot faces the probability of a correction lower in the near term.

Key Quotes

EUR/USD has reached long term Fibonacci resistance at 1.2517/1.2600. We note that the daily and weekly RSI are diverging and the steep January support line has also been eroded but the break was not sustained. The risk of a near term correction lower remains however. Below 1.2335 lies the January 18 low at 1.2165 and, more importantly, the August and September highs at 1.2092/70”.

“Above 1.2600 will test the 2008-2018 resistance line at 1.2710”.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.