EUR/USD to see a near-term bounce towards the 1.1513/22 zone – Commerzbank

EUR/USD is correcting higher. Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, expects the pair to face resistance at the 1.1513/22 area.

RSI has diverged+ 13 count

“We note the 13 count on the daily chart and the divergence of the daily RSI and would allow for a near-term rebound.” 

“Any bounces will find tough resistance at the 1.1630 five-month downtrend and while capped here, the overall bias is negative.”

“Initial resistance is the 1.1513/22 October low, the 5th November low and the 20-day ma.” 

“Below 1.1248 (TD support) would target 1.10, the 78.6% retracement of the move seen in 2020.”