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"The issues for Spain are undoubtedly huge and most people are coming round to the idea that it will need to go outside of its borders for assistance. The longer it delays the more the risk of a bank run."
- Jane Foley, senior currency strategist at Rabobank (based on CNBC)
Pair's Outlook
The pair inched lower today as concerns over Greece are easing, though worries over Spain weighed in, thus the retracement is somewhat bleak. However, if the bearish trend continues, 1.0200 (initial support line) is likely to be targeted by the bears. Once this level is successfully approached, 1.0170 (S1 Weekly) and 1.0082 (200-day ma) are going to be the next targets among bearish traders.
Traders' Sentiment
The gap between longs and shorts has narrowed. However, the sentiment was not altered to a large extent, as bears continue to dominate the market with 73%, while bulls constitute 27% of the total amount of positions.
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