EUR/USD: the euro is potentially experiencing a major bullish shift (Commerzbank)

Commerzbank confirms its bullish tone regarding the EUR/USD and is first waiting for a test of 1.1745/50.

"The EUR/USD recently broke through the 55-day moving average and the short-term resistance line. This implies a greater potential for recovery.

Close resistance levels are offered by the peaks at 1.1745/50 and 1.1790, which should offer a solid barrier in the short term.

A break above would trigger a move to the mid-June peak at 1.1853 and the 55-week moving average at 1.1922.

We suspect that the recent low at 1.1301 was a significant turning point for the EUR/USD.

A first support level is at 1.1616 with the 55-day MA ahead of 1.1538 (the 20-day MA), and a decline below 1.1508 will be necessary to ease the upward pressures.

For the moment, the declines should remain limited to the 1.1625/1.1580 zone."