EUR/USD still negative, targets 1.0821 – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted the pair could target the 1.0820 area while below 1.1180.

Key Quotes

“EUR/USD remains upside corrective, the correction higher is approaching the previous channel – now located at 1.1180. While capped here, we continue to view this as a strong negative signal”.

“It leaves the market on the road to 1.0821, the March low, and then the base of the second channel at 1.0564. Note the 1.0457 March 2015 low is also found in this vicinity together with the 1.0600 30 year support line”.

“Initial resistance is the channel at 1.1176 and we look for the market to fail here. Above here lies 1.1231 the 61.8% retracement of the post Brexit move”.