FXstreet.com (Barcelona) - The Euro has rallied from 1.4625 low on Tuesday to reach levels around 1.4750 at Wednesday's European opening session, which , according to Karen Jones, technical analyst at Commerzbank, represents a near term bounce from the 55 day MA, which might be capped at 1.4845/60.

According to Jones, current rebound from 1.4625 might be limited at 1.4845/60 area: EUR/USD has sold off to its 55 day ma at 1.4638. This has held the initial test and it is possible it will prompt a near term rebound to 1.4845/60, where we suspect that the market will fail. It has come under increasing downside pressure.

On the downside, Jones points out to 1.4595 level: We are no longer convinced that the 1.4595 uptrend will hold - failure here will target 1.4448/33 (June high and double Fibo) and possibly 1.4069 (38.2% retracement of the move up from March).