FXstreet.com (Barcelona) - Retreat from 1.5060 year to date high has extended on Thursday to 1.4680 low and, although the Euro is picking up during Early European session, according to Karen Jones, technical analyst at Commezbank the risk for a deeper pullback remains.
Current decline is corrective in nature, and according to Jones, the Euro could find a bottom below 1.4600 before bouncing up: The near term risk remains that we will see a deeper corrective retracement unfold to 1.4594/1.4548. This is the location of the uptrend, 55 day ma and Fibonacci retracement. We look for the market to hold here and recover. Target remains 1.5245.
Support levels, according to Jones, remain at 1.4691, 1.4594 and 1.4548. On the upside, resistance levels lie at 1.4775, 1.4830/45, 1.4920/50.