EUR/USD headed to monthly 200-SMA at 1.2432 - Commerzbank

Karen Jones, Analyst at Commerzbank, notes that the ongoing bullish run in EUR/USD is likely to extend further, opening doors for a test of the monthly 200-SMA located at 1.2432.

Key Quotes:

“EUR/USD last week sold off to and recovered from the 20-day ma at 1.1974. While above here, the market is immediately bid and it has now closed above the 1.2092 September high. It has already reached the 1.2168 50% retracement of the move down from 2015 high and targets the 1.2066 pivot line and then 1.2432 200 month ma.“

“Below 1.1974 will trigger losses to the 1.1866 uptrend.“

“It will remain overall bid above the 1.1866 short-term uptrend and this guards the 1.1717/12 November and December lows. The 1.1712 mid-November low guards the 1.1553 7 th November low.”