© Dukascopy Bank
- Nomura (based on WSJ)
Industry outlook
EUR/USD is attempting to consolidate above a key level at 1.30. Resistance at 1.3077 has halted pair's advancement, although above it the price is likely to target 1.3145. Supports may be found at 1.2863/40 and 1.2800.
Traders' sentiment
The gap between the number of long and short positions held on EUR/USD has widened once again. At the moment 44% of trades are bullish, whereas 56% of them are bearish.
Long position opened
Major market participants are likely to close their long positions at the key resistance levels. The primary short-term target will be reached at 1.3081. The breakout of this level will pave a way for a bullish run up to 1.3126 and then to 1.3190.
Short position opened
In case of dips, another rally may start after rebounding from the initial support level at 1.2972. However, assuming that the bearish momentum does not weaken, investors will pay attention to the lower support levels at 1.2908 and 1.2863.
© Dukascopy Bank