EUR/USD: a sustained break of the $1.2155 area is needed to confirm a top - BBH

Ross J Burland FXStreet

Analysts at Brown Brothers Harriman explained that the euro was slightly softer for the second consecutive week.

Key Quotes:

"ECB's Draghi and Praet's insistence on continued patience (with the current monetary settings) coupled with a slight downward revision to the February CPI (1.1.% from 1. 3% in January and an initial estimate of 1.2%) weighed on the euro over the past three sessions.

Still, the euro is up a cent since the start of March. The trendline we identified last week, drawn off the February 2 high held on the mid-week test, which increases its significance. It is found near $1.2345 at the end of next week. The technical indicators are not generating a strong signal but seem to favor some more softness. The $1.2250-$1.2270 offers initial support, while a sustained break of the $1.2155 area is needed to confirm a top."

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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