What’s the sentiment around EUR/USD today? – Commerzbank and Danske Bank
26 January 2015, 08:16
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EUR/USD is back to the 1.1200 vicinity on Monday following a drop to the boundaries of 1.1100 the figure post-Greek elections.
Karen Jones, Head of FICC Technical Analysis at Commerzbank, argued the pair “has reached its 1.1210 long term Fibonacci support and target zone. We suspect that we will see some signs of consolidation around here. Below 1.1098 will introduce scope to 1.0835, this is the 50% retracement of the move from 1985”.
In addition, Senior Analyst Christin Tuxen at Danske Bank suggested “With speculators already heavily short the single currency, we stress that it is unlikely to be a one-way street for EUR/USD, even as markets continue to digest the ECB’s extensive QE scheme, but it is increasingly likely that the cross may undershoot our 6M forecast of 1.10 in H1”.
Karen Jones, Head of FICC Technical Analysis at Commerzbank, argued the pair “has reached its 1.1210 long term Fibonacci support and target zone. We suspect that we will see some signs of consolidation around here. Below 1.1098 will introduce scope to 1.0835, this is the 50% retracement of the move from 1985”.
In addition, Senior Analyst Christin Tuxen at Danske Bank suggested “With speculators already heavily short the single currency, we stress that it is unlikely to be a one-way street for EUR/USD, even as markets continue to digest the ECB’s extensive QE scheme, but it is increasingly likely that the cross may undershoot our 6M forecast of 1.10 in H1”.
