EUR/USD broke out of bullish channel

Lately we have been becoming increasingly concerned whether the pair will really end the bullish trend and start a long-term decline. And now, being that the lower boundary of the four-month channel up has finally caved in, mostly due to the fundamental reasons, the probability of the Euro returning back above the August high at 1.3451 is fairly low.

Although we would expect the sentiment of the SWFX market participants to experience some significant changes because of the increased volatility exhibited just recently, in reality the shares of long (50%) and short (50%) positions remain more or less the same as yesterday.