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"The fiscal cliff is the issue today as it seems like we're at another state of impasse, so that took a bite out of the euroas risk appetite fell"
- CitiFX (based on Bloomberg)
Pair's Outlook
Seems that EUR/USD pair loses it up-trend momentum, as the price yesterday peaked at 1.3306, but finally reversed and retreated back to a 1.3240 level, which is important resistance from the spring's channel pattern. Thus we have a candle with a small body and a long shadow above, which most usually indicates an impetus loss and a potential reverse of moving sentiments, at least in a short term.
Traders' Sentiment
SWFX market participants keep bearish sentiments, as 37% of traders have long positions and 63% have short positions. Pending orders segment indicates a tendency to support a currency pair's appreciation, as the buy side has 55% of orders and the sell side has 45% or orders.
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