USD/BRL: November 2016 high at 3.5789 on the radar - Commerzbank

Axel Rudolph, Senior Analyst at Commerzbank, point out that the Brazilian real (BRL) remains under pressure against the US Dollar. He mentions that USD/BRL is probing the February high at 3.3188, and a rise above will target the 3.3347/3.3463 area.

Key Quotes: 

“USD/BRL is trying to overcome resistance at the 3.3188 February high. Once bettered, the November and December highs at 3.3347/3.3463 will be in focus.”

“Longer term we still have the November 2016 high at 3.5789 in our sights.”

“Minor support can be seen between the breached four month support line at 3.2980, at last week’s low at 3.2645 and also between the 55- and 200-day moving averages at 3.2406/3.2219.”

“More significant support can be spotted between the 3.2010/3.1994 November trough and mid-February low. Still stronger support remains to be seen at 3.1227/3.1087. It is made up of the October and January lows as well as the 2017-18 support line at 3.1164. Below it lie the February and September 2017 lows at 3.0804/3.0418.”