EUR/USD hovering above the weekly S1

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The positive U.S. claims data contrasts to the cautious tone carried by Draghi and is forcing a widening in the yield gap between comparable benchmark bonds. The euro zone is several years behind the U.S. in terms of recovery and the dynamics of the upturn are built on a different foundation." 
- Miller Tabak & Co LLC (based on CNBC)

Pair's Outlook
After a rather volatile trading session pair closed only 30 pips above its opening price few days ago. Yesterday it dipped almost 100 pips and at the moment is being supported by the weekly S1 just slightly above 1.32. Although short term technicals on aggregate point at appreciation of the pair it is worth pointing out that quite a few individual indicators give neutral outlook. It is very likely this will be the dominant factor in the nearest future keeping the pair around 1.32.

Traders' Sentiment
Bears are the dominant power in the market at the moment. At the moment they account for 57% of market participants and 61% of pending orders are in their favor as well.

© Dukascopy Bank SA

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