2 Jul 2015
EUR/USD forecast: all eyes on Payrolls – Commerzbank and UOB Group
FXStreet (Edinburgh) - EUR/USD is posting decent gains on Thursday ahead of the critical US Payrolls due later (230K exp.).
“Downward momentum is picking up again and the sharp drop from the high of 1.1171 yesterday appears incomplete. From here, allow for a rebound to 1.1070 but 1.1110 is expected to cap for a move to 1.1000. The Monday’s low near 1.0950/55 is likely out of reach for now”, noted analysts at UOB Group.
In addition, Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted the pair “has started to erode the cloud, the base of which lies at 1.0994. Our stance is neutral to negative – although there does appear to be a reluctance to break down presently. We have initial resistance at 1.1280/1.1325 and above here lies dense resistance at 1.1440/1.1534, the recent highs”.
“Downward momentum is picking up again and the sharp drop from the high of 1.1171 yesterday appears incomplete. From here, allow for a rebound to 1.1070 but 1.1110 is expected to cap for a move to 1.1000. The Monday’s low near 1.0950/55 is likely out of reach for now”, noted analysts at UOB Group.
In addition, Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted the pair “has started to erode the cloud, the base of which lies at 1.0994. Our stance is neutral to negative – although there does appear to be a reluctance to break down presently. We have initial resistance at 1.1280/1.1325 and above here lies dense resistance at 1.1440/1.1534, the recent highs”.