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"A fuzzy outlook for Fed taper plans has caused investors to pare back on bullish bets on the greenback. But so long as investors see a reasonable case for a September Fed taper and this week's US data are generally consistent with an improving economy, the greenback's downside may prove relatively modest."
- Western Union Business Solutions (based on Channel news)
Pair's Outlook
Yesterdays fail at monthly R1 gave some bearish momentum for the pair. However, there are some signs that it is wearing off and the pair should resume appreciating in the short term (as technical indicators on aggregate suggest). It might be the case that the pair will trail lower, but lower that 1.318 seems rather unlikely.
Traders' Sentiment
Bulls are continuing to increase the pressure on the bears since share of bullish pending orders increased to 58%. However, bears continue to control 61% of the market, same share in the last 3 days.
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