EUR/USD to climb towards 1.20 on a break above downtrend at 1.1780 – Commerzbank

EUR/USD is trading below 1.1750 on Wednesday morning. It seems that the pair is building a reversal pattern but a break above the downtrend at 1.1780 is needed to confirm this view, Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, reports.

See – EUR/USD: Year-end forecast stands at 1.18 – ABN Amro

EUR/USD is approaching downtrend

“EUR/USD’s low of 1.1665 was not confirmed by the daily RSI and the market is correcting higher.”

“It is possible that this may be a falling wedge reversal pattern, but this will only be confirmed on a close above the downtrend at 1.1780. This guards the 1.1909 July high and then the 1.1990/1.2006 March high and 200-day ma.”