EUR/USD: No decisive reversal signal yet - JPMorgan

FXStreet (Bali) - The broader EUR/USD downtrend hasn't delivered a decisive reversal signal yet, notes Thomas Anthonj, FX Strategist at JP Morgan.

Key Quotes

"Having erratically traded sideway in EUR/USDfor six weeks and since we marked the 1.0462 (last low) in March, we have to assume that the broader downtrend towards 1.0400 (H & S projection) and to 1.0072 (76.4 % of the 2000-2008 rally) is still intact as no decisive reversal signal has been delivered yet."

"Only a break above 1.1053/98 (keypivots) would seriously start weakening the trend in favor of a broader recovery to 1.1267/79 (int. 38.2 %) if not to 1.1699 and to 1.1811 (int. 38.2 % on higher scales)."

"Particularly below 1.1053/98, a straight resumption of the downtrend towards 1.0072 and possibly to projected wave 3 Fib.-targets at 0.9652and at 0.9298 remains highly likely, which would be confirmed via breaks below 1.0660 and below 1.0521 (last lows)."

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