EUR/USD expected to breach 1.1131 – Commerzbank

According to Axel Rudolph, Senior Technical Analyst at Commerzbank, the pair could break below 1.1131 (200-day ma) in the very near term.

Key Quotes

“EUR/USD formed a significant top at 1.1366 during August and longer term targets the March low at 1.0826”.

“Last week the 200 day moving average, now at 1.1131, acted as support but this week it is likely to give way”.

“Once slid through, the six month support line at 1.0974 will be targeted next, together with the June and July lows at 1.0952/12”.

“Only an unexpected rise above the 1.1366 August high would introduce scope to 1.1416/65, the mid-April and June highs. Minor resistance below these levels comes in at Friday’s 1.1255 high”.