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- Credit Agricole (based on MarketWatch)
Pair's Outlook
Recovery of the currency pair has faltered ahead of resistance at 1.2332 and is likely to turn back into a long-term fall of the price, as it was only a temporary bullish correction. An initial support line is located at 1.2247, followed by 1.2161 and 1.2106/1.2075, where we might see a stronger rebound. In case the latter level is breached, EUR/USD is likely to aim for 1.1989.
Traders' Sentiment
The difference between the shares of bullish and bearish towards EUR/USD traders has narrowed to 26%, though the pair remains overbought, thus increasing the chance of it being sold off, granted that long positions are closed. At the same time the single European currency is the most popular among its peers, being acquired in 72% of cases overall in the market.
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