18 Feb 2016
EUR/USD forecast: focus on ECB – Commerzbank and UOB
EUR/USD keeps meandering within the recent range although a break above the 1.1200 mark still remains elusive.
Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted spot “continues to weigh on the downside but is approaching stronger support circa 1.1087/55, the September low and the 200 day ma. While this may prompt a small rebound we look for it to struggle and in fact favour a sell off towards the base of the channel at 1.0907 today and beyond”.
In addition, the research team at UOB Group suggested “There is not much to add as EUR continues to drift lower and we continue to hold the view that the current pull-back has room to extend lower to 1.1060. A move above 1.1180 would be the first sign that the weakness that started late last week has stabilized. Key resistance is nearer to 1.1250/55”.
Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted spot “continues to weigh on the downside but is approaching stronger support circa 1.1087/55, the September low and the 200 day ma. While this may prompt a small rebound we look for it to struggle and in fact favour a sell off towards the base of the channel at 1.0907 today and beyond”.
In addition, the research team at UOB Group suggested “There is not much to add as EUR continues to drift lower and we continue to hold the view that the current pull-back has room to extend lower to 1.1060. A move above 1.1180 would be the first sign that the weakness that started late last week has stabilized. Key resistance is nearer to 1.1250/55”.