© Dukascopy Bank SA
"Whatever happens this Saturday, it is unlikely that Monday morning will see a scorch earth or grass is greener moment. The markets are more likely to react to the Fed meeting, German elections and the fact that the Syrian conflict is still simmering away under the surface. This election from a market perspective is a non-event."
- IG (based on CNBC)
Pair's Outlook
Pair did not manage to consolidate above the weekly R1 yesterday and continues to trade on the 200-day SMA. We are seeing similar scenario today as well suggesting that there is no driver for the pair's moves. Together with the readings of short term Stochastic and medium term technicals on aggregate this implies we could see a dip to 0.928. Failure there could provoke losses to 0.915.
Traders' Sentiment
Bulls are taking back the control of the market. At the moment they hold 75% open positions in the market. It is 5% more than yesterday and exactly the same as on Monday. The most noticeable difference is in the distribution of pending orders. 69% of them are set in the favour of bulls, that is 15% more than yesterday.
© Dukascopy Bank SA