EUR/USD: New lows for the year, scope for a dive to the 1.10 level – Commerzbank

EUR/USD is in new lows for the year after tanking to its lowest level since July 2020 at 1.1465. Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, notes that the pair could sink as low as 1.10. 

Offered below the 1.1660 five-month downtrend

“EUR/USD has broken into new lows for the year and will stay directly offered below the 1.1660 five-month downtrend.”

“For now, attention is on the previous downtrend (from 2008) which is now located at 1.1366 and should act as support, we look for this to hold.”

“Below 1.1366 would target 1.1290 then 1.10, the 61.8% and 78.6% retracement of the move seen in 2020.”