EUR/USD opens with a bearish gap

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"Investors will see some risk and there are also some issues with Italy, so the euro is likely to head toward $1.25."
- a trader at a European bank (based on Reuters)


Pair's Outlook

From the very beginning of this week the currency pair is demonstrating attraction towards 1.2704/1.2688, although there is a Bollinger band at 1.2737 in the way at the moment. According to the technical indicators, the down-move is highly unlikely to be univocal, as they are largely mixed, only monthly studies are somewhat bearish. In case of a bullish correction, the nearest resistance levels are at 1.2823 and 1.2867.

Traders' Sentiment
In the SWFX marketplace supply and demand are in perfect equilibrium, as equal amounts of investors have entered long and short positions. The distribution between the buy and sell orders is also neutral, as the share of the former is 51% and the share of the latter is 49%.
© Dukascopy Bank SA

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