EUR/USD hovers below the 200-day SMA

As anticipated pair is showing signs of bearish correction. Taking in to account how minor this correction is since the major resistance area at 1.31 cant push it lower, we cant easily make the conclusions that there is still significant strength in the pair. Correction might erode the  pair till 1.299; short term rallies should be capped by the 1.326.

 

Situation in the market is now really uncertain. Bulls and bears continue to hold equal shares of open positions. In addition to this, the pending orders are perfectly distributed between the long and short traders as well.