EUR/USD's outlook remains negative

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The awkwardness with which they handled the Cyprus situation has got to have created a substantial sense of unease in Europe."
- Lawrence Summers , former Treasury Secretary (based on Bloomberg)

Pair's Outlook

Short squeezing drags on, but has tapered off at a cluster of resistances, mainly formed by the 200-day SMA and monthly R1. If the bullish impetus is here to stay for a longer time period, this may endanger the 55-day SMA at 1.3094 and the 100-day SMA at 1.3176 as well, although 1.3277 is likely to be of greater importance in the future due to its role in Dec-Feb price fluctuations.

Traders' Sentiment
The share of bullish towards the Euro market participants is diminishing and has already reached 48% of the total number of traders, while the U.S. Dollar is gaining in popularity, although the advantage is yet insignificant. The ratio between the buy and sell orders is 55% to 45%.
© Dukascopy Bank SA

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