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- Monex (based on CNBC)
Pair's Outlook
EUR/USD came under heavy fire once it approached the 1.15 level. However, once again these were fundamental rather than technical factors that weighed the currency down, namely dovish comments of the ECB official. In any case, the pair is now under the monthly R1, meaning it is vulnerable to an extension of the decline. The nearest significant support is only at 1.13, implying a potential dip of 80 pips in the nearest future. A more reliable demand area is at 1.1240/15, created by the monthly PP and 55-day SMA.
Traders' Sentiment
The situation in the SWFX market normalises. While the share of short fell from 61 to 57%, the percentage of buy orders placed 100 pips around the spot price declined from 62 to 56%.
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