EUR/USD fails at the 1.2014 resistance as dollar down move losses momentum – Commerzbank

EUR/USD has failed at the resistance at 1.2014 and is now trading around 1.19. Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, has exited EUR/USD long positions as she has also noted a large divergence of the daily RSI.

Key quotes

“EUR/USD has reached the 1.2014 TD resistance and so far this has thwarted the topside, we have for now exited our long positions.”

“Please note that we have a large divergence of the daily RSI and also we have a TD perfected set up on the weekly chart and we suspect that the market may fail here.”

“Only a close above 1.2015 will introduce scope for further gains to 1.2630, the 200-month ma.” 

“Provided that dips remain well supported by the four-month uptrend at 1.1698, an overall upside bias will be maintained. This guards the March high at 1.1495. Initial support is the one-month support line at 1.1783.”