EUR/USD’s recent high at 1.3584 is viewed as an intermediate peak, notes Commerzbank
"We look for the 1.3295/94 zone to be retested (current November low and the 50% retracement of the move up from July) and would again allow for this to hold the initial test. However following Wednesday’s key day reversal to the downside the risk has increased for a break lower to the 200 day moving average at 1.3219 and below here we target the 1.3167/05 region which is made out of the 61.8% retracement and the September low," CB outlines its immediate bias on the pair.
In line with this view, CB entered into a fresh short EUR/USD from 1.3490 with a stop at 1.3585, and a target at 1.3220.
Meanwhile, CB notes that GBP/USD continues to push into the upper echelons of its trading range, notes Commerzbank.
"We are not clear at this stage if this is a potential top or not but we are biased towards the top theory, given the 4 year downtrend is located just above here at 1.6305. As a consequence we continue to look for failure at the 1.6256/59 recent highs," CB outlines its immediate bias on the pair.
In line with this view, CB attempted tiny GBP/USD short from 1.6220 with a stop at 1.6370.
