EUR/USD a test of 1.0820 is not ruled out – Commerzbank

In view of Karen Jones, Head of FICC Technical Analysis at Commerzbank, the pair could still test the 1.0820 area.

Key Quotes

“EUR/USD has rallied towards and is stalling ahead of the 1.07 recent spike high, the market remains corrective. Currently we remain unable to rule out a move to 1.0820 50% retracement. The intraday Elliott wave counts are conflicting. There is scope for 1.0875 the December high. At this stage we are unable to rule out a move to the 200 day ma at 1.1039”.

“The market stays bid near term while above 1.0450. Failure here would cast attention back to the 1.0372/40 recent lows. We await a close below the 1.0372/40 lows from mid December 2016 to trigger another leg lower”