Forex Flash: EUR/USD next support at 1.2998 - Commerzbank

The EUR/USD returned to point of break down from its previous 3 month uptrend and collapsed lower: "We have an initial downside target to 1.2679/61, this is the 61.8% retracement of the move up from July 2012 and the November 2012 low", wrote analyst Karen Jones, pointing to initial support at 1.3075/3, the 38.2% retracement of the same move has already been reached. Below, there is 1.2998 then 1.2885/76 – the 7th December low and 78.6% retracement. "Near term rebounds should find initial resistance at 1.3180, 1.3260 and that the previous 3 month trendline should now act as resistance at 1.3336/48", she added.