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EUR/USD forecast: focus on PMIs – Commerzbank and OCBC Bank

FXStreet (Edinburgh) - EUR/USD remains flat-lined around 1.0970 on Monday, ahead of the final figures of the manufacturing PMIs in the euro area during July.

Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted spot’s “rally on Friday has again seen the market move towards and fail at the 1.1124/29 Fibo resistance, and while capped here we maintain a negative bias. Targets remain the 1.0819/11 May low and uptrend. Failure here is needed to trigger losses towards 1.0560/1.0447, the base of the 30 year channel and recent low“.

“Multisession, the EUR-USD may continue to orbit the 1.1000 region pending further headline risks although we note the continued failure to overcome its 55-day MA (1.1100) with the closet support expected towards 1.0900”, added Emmanuel Ng, FX Strategist at OCBC Bank.

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