Euro still focused on senior channel

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The euro is less likely to fall, because bets against the euro have piled up and investors have tended to buy back the currency after the Italian referendum."  
– Daiwa Securities (based on Business Recorder) 


Pair's Outlook 
EUR/USD opened in line with the senior channel expectations, targeting the upper trend-line at 1.0795 with a red candle. Immediate resistance lies at 1.0772 and there are no more obstacles which could potentially prohibit tests of the targeted level. The pair has managed to push through the area already, but a close below would likely mean EUR/USD being in the red zone on Friday, as it gives in to the channel bound. The floor is currently set at 1.0722/0709 over the last couple of days, and could come into play on Friday. 

Traders' Sentiment 
Traders show little change in sentiment with 51% of positions being long, while pessimism reflects in pending orders with 63% of short positions.
© Dukascopy Bank SA

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