EUR/USD – Slipping lower, neutralising outlook - Commerzbank

Karen Jones, Analyst at Commerzbank offers a technical overview for the EUR/USD pair as investors now look forward to the prelim German inflation figures for some fresh impetus. 

Key quotes:

   •  EUR/USD has not maintained the break above the early March high at 1.2447 and there has been some slippage. The market has eroded the 55 day ma and in doing so neutralised our outlook. 

   •  We remain unable to rule out a retest of the January and February highs at 1.2538/56 and the long term downtrend at 1.2651, but this is looking less likely.

   •  We would allow for a slide to the 1.2240 20th March low. Key support remains the 1.2192/55 area. 

   •  This is made up of the mid-January and current March lows and the 2017-2018 uptrend. 

   •  A weekly close below here would add weight to the idea that the market recently topped at 1.2556.