EUR/USD: attention is turning towards February's lows (Commerzbank)

Karen Jones, an analyst at Commerzbank, explains that the EUR/USD sold last week and that attention has now returned to the recent low of 1.1176.

"The eurodollar market has not recently seen a break to new lows, but there is a risk of falling to the low of 1.1110 observed at the end of May 2017 (this is not our preferred scenario). We suspect that the pair is trying to form a base, but it still has work to do to achieve this. Once above the 200-day moving average line at 1.1467, the pair should target the January peak of 1.1570, as well as the 55-week moving average of 1.609.

Below 1.1185/75 (61.8% retracement) are 1.1110, the low of May 2017 and the 78.6% retracement at 1.0814."