Karen Jones, analyst at Commerzbank, points out that the EUR/USD pair has broken up from a falling wedge pattern and rallies will find initial resistance at the 200 day ma at 1.1480 and the 1.1570 January high together with the 55 week MA at 1.1630.

“It is a reversal pattern and it is bullish it implies that 1.1176 is an interim low in place. We have our doubts that the market will at this juncture retest the Dips should find initial support at the 1.1367 100 day MA ahead of the 1.1329 20 day MA, this should now hold the downside for further upside attempts. Below 1.1185/75 (61.8% retracement) lies the 1.1110, the May 2017 low and the 1.0814/78.6% retracement.”