EUR/USD charges at 2014 low

EUR/USD closed below the weekly S1 yesterday, meaning there are no significant supports left to guard the key level at 1.3481/75—monthly S1 and, more importantly, the 2014 low. Depreciation of the Euro beyond this point in the nearest future is unlikely, considering the potential toughness of this level. Nevertheless, eventually the currency pair is expected to overcome the obstacle and remain bearish in the longer-term perspective.

Despite impetuous depreciation of the single European currency, the market is still divided—54% of positions are long and 46% are short. On the other hand, the share of buy orders placed 50 pips from the spot soared from 45% up to 64%.