Karen Jones, Head of FICC Technical Analysis at Commerzbank, suggested a weekly close below 1.2165/55 could hint at the idea that the pair carved a top in the mid-1.2500s.
â€œEUR/USD has eroded the three month support line at 1.2265, this guards the more important 1.2165/55 area. This is made up of the midJanuary and current March lows and the 2017-2018 uptrend. A weekly close below here would add weight to the idea that the market recently topped at 1.2556â€.
â€œIt needs to overcome the 1.2375 resistance line for a shot at last weekâ€™s high at 1.2413 ahead of the current March high at 1.2447. If the 1.2447 level were to unexpectedly be exceeded, the January and February highs at 1.2538/56 would be back in the pictureâ€.
â€œAbove the 2008-2018 resistance line at 1.2651 lies the 1.3190 50% retracement of the move down from 2008â€.