EUR/USD risks a correction lower near term – Commerzbank

Pablo Piovano FXStreet

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”.

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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