EUR/USD: Recovery gaining traction – Commerzbank

The EUR/USD recovery is now gaining traction and has reached the 50% retracement at 1.1009, which may hold the initial test, Karen Jones from Commerzbank reports.

Key quotes 

“The 2 month downtrend has been eroded. Directly above here lies the 1.1099 200 day ma, the 1.1138 55 week ma, the 1.1188 one year down channel and the 1.1240 recent high.” 

“These remain the break up point to the 200 week ma at 1.1347. Dips will find initial support at 1.0879 the October low, but key support remains the 20 year uptrend at 1.0763. Intraday dips are indicated to be likely to hold around the 1.0925 level.”