Forex Flash: Euro sights hefty resistance 1.3225/43 - Commerzbank

FXstreet.com (London) - The Euro has been marching on in the face of the bears, but without there being much in the way of fundamentals to take it any further than here for now, Karen Jones, Head of FICC Technical Analysis at Commerzbank comments:

‘EUR/USD has seen a very strong rebound and while this has swung the pendulum higher and shifted focus to resistance, the market has yet to dislodge any resistance of note.’’

However, her team sees hefty resistance now at 1.3225/43, which would be a 50% retracement and last Wednesday’s high.

Commerzbank suggests that above 1.3243 would introduce scope to 1.3487/1.3521, saying that this is the location of the 200-week moving average and the 2011-2013-resistance line.

On the down side, they suggest that break back below the 200 day moving average at 1.2990 is needed to alleviate upside pressure.