© Dukascopy Bank SA
- Banco Santander SA (based on Bloomberg)
Pair's Outlook
Although the US Dollar experienced substantial volatility on Tuesday, the given pair remained relatively unchanged and only managed to climb over the immediate resistance in face of the weekly PP. The 1.2962 psychological level keeps providing resistance today, now reinforced by the 55-day SMA. In case this area is overcome, the next target will be the 1.30 major level, just under the second resistance cluster. Technical indicators are also in favour of the bullish outcome, but, nonetheless, risks of a bearish development persist, which could lead the exchange rate towards 1.28, where the weekly S1 coincides with the 20-day SMA.
Traders' Sentiment
For the fourth consecutive time 51% of traders are long the Buck, while 55% of all pending orders are still to sell the US Dollar.
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