EUR/USD: Bounce neutralizes chart - Commerzbank

In the view of Karen Jones, Analyst at Commerzbank, the ongoing recovery in EUR/USD has neutralized the previously negative Elliott wave signals.

Key Quotes:

“EUR/USD saw a strong near-term recovery off the 20-day ma at 1.1920 yesterday. This has neutralized the previously negative Elliott wave signals and we have no strong near-term bias. While above the 20-day ma at 1.1926 attention once more reverts to the 1.2092 September high. Below 1.1926 will trigger losses to the 1.1853 uptrend.“

“It will remain overall bid above the 1.1853 short-term uptrend and this guards the 1.1717/12 November and December lows. The 1.1712 mid-November low guards the 1.1553 7 the November low.”

“A rise above 1.2092 will target the 1.2168 50% retracement of the move down from 2015 high and then the 1.2414 200 month ma.“