Forex Flash: EUR/USD in near term recovery - Commerzbank

The EUR/USD seems to be recovering from the 1.3315/1.3290 area of support (long term Fibo retracement and the 3 month uptrend): “The market has started to erode the near term downtrend at 1.3418 and we would allow for a near term recovery”, wrote analyst Karen Jones. “Provided rallies remain capped by the 1.3520 resistance they will have no impact on our negative bias”, continued the Commerzbank analyst, suggesting another run up to 1.3711 in case of a breach higher. Below, there is a broad band of support extending down to 1.3202: “We have the 16th Jan low, the 61.8% retracement, the 55 day ma and the 3 month support line together with the 7 month uptrend and a close below here is required to negate the up move completely”, she added.