EUR/USD: the euro is approaching solid resistance (Commerzbank)

According to Karen Jones, an analyst at Commerzbank, the EUR/USD pair is increasingly approaching the 55-day and 100-day moving average resistance at 1.1364/66, and we could observe an initial failure and some sort of reversal and shifting towards the lower area located at 1.1300.

"We are skeptical that the EUR/USD could test the 61.8% Fibonacci retracement of the 2017-18 rise to 1.1186, and we suspect that this represents the formation of a bearish bevel (a bullish figure).

Rallies will find initial resistance at 1.1366/67, where the 55-day and 100-day moving averages are located, which will maintain the end-of-February high at 1.1420 and the downtrend line at 1 1419. Above this downtrend line are 1.1482, the 200-day moving average, and the January high at 1.1570."