EUR/USD posing for a correction

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The euro's had a massive move higher, and we're waiting to see whether there's going to be some ECB comment on how the currency impacts growth."
- Nomura Securities  (based on The Wall Street Journal)


Pair's Outlook
After peaking to 1.371 at the end of the last week pair has started the week with a dip suggesting we might see a bearish correction after prolonged appreciation. Dynamics of technical levels suggests the dip should be  till weekly PP as a dip to weekly S1 would erase last weeks gain and it is unlikely that euro bulls would do nothing about it. Long traders should pay attention to the whole 1.365/1.37 area as the closest resistance level and recent high are there.

Traders' Sentiment
Market sentiment became more bullish but significant portion of traders (58%) are remaining short on the pair. Pending orders are in favour for the bears as well—56% of them are to go short.

© Dukascopy Bank SA

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