EUR/USD topside pressure persists above 1.1508 – Commerzbank

In view of Karen Jones, Head of FICC Technical Analysis at Commerzbank, the pair needs to drop below 1.1508 to mitigate the topside pressure.

Key Quotes

“EUR/USD is consolidating just below the 55 day ma at 1.1617. The market will need to drop sub 1.1508 to alleviate immediate topside pressure. Currently intraday Elliott wave counts are positive and near term risk remains on the topside”.

“Should a drop and daily chart close below the 1.1300/1.1296 November 2016 and mid-June 2017 highs be seen, however, we will assume resumption of the down move and the 61.8% Fibonacci retracement of the 2017-18 rise at 1.1187 would be targeted”.