EUR/USD: the euro rebound appears to be rather timid (Commerzbank)

Karen Jones, an analyst at Commerzbank, says that the EUR/USD is correcting to the upside in the short term, following the massive selloff at the 61.8% Fibonacci retracement of the 2017-18 rally at 1.1186, which satisfied the initial test.

"The rebound has been shy so far, and there is now considerable resistance over the market in an area that extends to the 200-day moving average at 1.1491. Rallies will find initial resistance at 1.1315 with the 20-day moving average, which maintains the late-February peak at 1.1420 and the downtrend line at 1.1435. Below 1.1185/75 are 1.1110, the May 2017 low and the 78.6% retracement at 1.0814."