EUR/USD is once more sitting on the 61.8% Fibonacci retracement of the May decline at 1.4569, having remained below the 78.6% Fibonacci retracement at 1.4732 on Wednesday. Here we still expect the currency pair to fail. Minor support below the 61.8% retracement at 1.4569 is found at 1.4384/40.
EUR/JPY has again been capped by the 55 day moving average at 117.85 before reversing lower on Wednesday. A drop to the March-to-June uptrend line at 115.91 now seems probable.
EUR/GBP briefly shot above the 78.6% Fibonacci retracement of the May decline at .8950 and hit .8977 on Wednesday before slipping back below .8950 and the previous day’s .8908 low, thus forming a key reversal day. This has short term bearish implications.
Not only did EUR/CHF not reach the 1.2372/1.2414 resistance area (December and March lows) but it has not even managed to touch the current 1.2319 June high. This highlights inherent weakness and points to another few days of falling prices.
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