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"People got excited about Fed tapering in May and June and that has sort of been priced in and now that yield support for the dollar has been eroded, positions on long dollars are being squeezed."
- BNP Paribas (based on Reuters)
Pair's Outlook
Sell off at the end of the last week sent the pair below the Fibo 23.6% (end of May till mid of June move) at 0.93 where it is trading at the moment. Short term RSI and Stochastic send buy signal suggesting we might see a short term rally which could grow in to longer term trend. However, outlook remains mildly bearish as pair seems to have already consolidated below 93 cents.
Traders' Sentiment
Market sentiment in the market remains almost exactly the same like before the weekend. Share of open long positions in the market decreased by 1% and is at 72% level today, but pending long orders remain at 57% gauge.
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