© Dukascopy Bank SA
"Traders tend to feel that a lot is out of their control with central banks being active. That's one of the main reasons why we've seen these tight ranges being maintained."
- IG (based on Bloomberg)
Pair's Outlook
Although the 200-day has stayed intact for the past month, constantly defending the positive outlook, the pair is still unable to use it as a springboard and make a foray north, as it did in May. Apart from a prolonged absence of bullish activity, there is also a worrying sign on the monthly chart, where a half of the indicators are giving ‘sell' signals, while none of them are defending an idea of U.S. Dollar's appreciation relative to the Franc.
Traders' Sentiment
The sentiment in the market is strongly bullish—as many as 67% of traders are currently holding long position on the buck, leaving the bears in a distinct minority, with only a 33% share. Meanwhile, the portion of the buy orders surged, specifically from 61% to 68%.
© Dukascopy Bank SA