© Dukascopy Bank SA
The most traded currency pair has been highly volatile on Friday following comments from the ECB. Despite a 205 pips hike, the pair is still moving in pattern's boundaries, however, according to technical indicators on a variety of timeframes, further appreciation is expected. At the same time, traders are less optimistic and opening short positions more often that long ones (65% bearish sentiment). Meanwhile, the single currency is sold in 61% of all cases, while the greenback is bought in 64% cases across the board. The next strong resistance for long traders is located around 1.389-39, represented by pattern's resistance, weekly R2 and a strong psychological level.
© Dukascopy Bank SA