EUR/USD forecast: attention to German CPI – Commerzbank and OCBC

By FXStreet FXStreet (Edinburgh) – The risk-off sentiment continues to dominate the session on Tuesday, allowing EUR/USD to test daily tops near 1.1270 ahead of the opening bell in Euroland.

Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted the pair “has recovered but also started to erode cloud support at 1.1260 and the near term risk remains on the downside for a re-visit of the current September lows at 1.1105/1.1088 . Failure at 1.1088 would trigger a move to 2015 uptrend at 1.0957”.

Furthermore, FX Strategist at OCBC Bank Emmanuel Ng, suggested “Look to the slew of EZ confidence indicators and German CPI for any potential macro cues today. Meanwhile, renewed risk aversion may continue to underpin the EUR-USD, with the 200-day MA (1.1188) acting as near term support. A break above 1.1260 would also light the way to 1.1300”.
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Source:: FX Street