EUR/USD approaches monthly PP

For now this week is bullish for EUR/USD, as it is about to post a third day of gains. Still, there are significant obstacles lying overhead and posing significant risks to the currency recovery, such as the monthly pivot point at 1.3815. If this hurdle is overcome, the currency pair will be expected to target the rising trend-line at 1.3948/25, where it will also encounter the monthly R1 level.

The traders' sentiment towards EUR/USD stays bearish, being that 63% of all open positions are short, just as yesterday; though the 10-day average is 65%. In the meantime, there was an increase in the sell orders placed 100 pips from the spot—their percentage grew from 51% to 56%.