EUR/USD: the euro could break to the upside this week (Commerzbank)

Karen Jones, an analyst at Commerzbank, explains that the EUR/USD has spent much of last week neutral in its horizontal range, and that they expect the euro-dollar to seek support above the November trough at 1.1216, but she also notes that it is currently blocked by the 20-day moving average at 1.1356.

"Our focus remains on the 200-day moving average at 1.1513. It is again expected that the EUR/USD will rise on the forex this week. Above the 200-day moving average, we expect gains to reach 1.1623, the mid-October high, and in the slightly longer-term, we expect gains to 1.1685, the 55-week moving average.

A rise of the pair to 1.1623 would confirm a reversal of the trend and bring the 55-week moving average into view."