EUR/USD faces strong resistance around 1.0820/26 – Commerzbank

In light of the recent price action, spot now faces a tough barrier in the 1.0820/26 area, suggested Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“EUR/USD has rallied to 1.0820/26 50% retracement and the top of the cloud, this together with 1.0875 the December high represents much tougher resistance for the market and we note that while the market has seen a strong rally it is not enough to restore the upmove and is still indicated to be corrective only”.

“The market is finding support at the 20 day ma at 1.0667 and we suspect will need to go below the base of the cloud at 1.0530 to negate the current push higher”.