EUR/USD surged to reach monthly S2

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"After rising for no particular reason yesterday, (the euro) inevitably met with selling as it came closer to $1.10."
- Tokyo Forex & Ueda Harlow (based on MarketWatch)

Pair's Outlook
For a second consecutive day, EUR/USD gained more than 100 pips. The Euro expanded above 1.09 and was only capped by the monthly S2 at 1.0942. It tried to cross this major resistance line, but failed to consolidate above 1.0950. Judging from technical indicators, the outlook for EUR/USD remains unclear, being that all of them are mixed at the moment. Therefore, trading range is expected to remain tight in between 1.0850 and 1.10 in the short term. 

Traders' Sentiment
Bullish opened positions at the SWFX market are accounting for 45% this morning, down three percentage points from Monday. Additionally, pending orders to buy the Euro against the US Dollar in 100-pip range from the spot are accounting for 42% on Tuesday.

© Dukascopy Bank SA

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