EUR/USD plummets to 2014 low

Since EUR/USD confronted the falling resistance line last week and failed to violate it, the overall downward trend should remain intact. However, in order to confirm the long-term bearish intentions, the currency pair must push through the demand at 1.2360, represented by the monthly S1 and, even more importantly, this year's minimum. Once this support is broken, the 2012 low at 1.2040 will highly likely become the next target.

Although the share of long positions has increased over the weekend, the difference between the numbers of the bulls and bears remains insignificant—only eight percentage points in favour of the former.