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- Ueda Harlow (based on Bloomberg)
Pair's Outlook
As suspected, the support at 1.38 was enough to prevent further depreciation of the single European currency. The pair is already testing the resistance at 1.3842/31 (weekly PP and 20-day SMA) and may soon hit the up-trend line at 1.3923/13, which in turn is supposed to be much harder to breach. Meanwhile, a substantial majority of the technical indicators on all three most relevant time-frames are bullish.
Traders' Sentiment
There was a slight increase in the share of short positions placed on EUR/USD, from 65% up to 66%, meaning the noticeably bearish sentiment towards the pair persists. At the same time the percentage of buy orders increased from 44% to 50%.
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