"A fresh wave of global risk-aversion trade, as depicted by a sharp slide in the European equity markets, boosted the Japanese Yen's safe-haven appeal."
— Haresh Menghani (based on FX Street)
Pair's outlook
Contrary to bearish expectations, traders concluded the Wednesday's trading session with gains. During the first half of today, the European common currency was trading steadily with no major ups or downs; however, downside risks managed to prevail and push the pair southwards below the monthly R1 at 124.07. The pair's growth and decline potential is limited solely by the weekly R2 and the weekly PP, leaving enough room for movement either way. Taking into account bullish intraday signals, it is likely that the pair closes above the monthly R1 or even slightly surpass its opening level.
Traders' sentiment
Market sentiment is bearish, as 60% of traders are holding short positions. Moreover, 53% of set up orders are to buy the Euro.
| Sentiment | Today | Yesterday | 5 days ago | |
| Positions | -20% | -24% | -2% | |
| Orders | 6% | 8% | 6% | |
| Indicator | 1D | 1W | 1MN | |
| MACD (12; 26; 9) | Buy | Buy | Sell | |
| RSI (14) | Sell | Neutral | Neutral | |
| Stochastic (5; 3; 3) | Sell | Sell | Sell | |
| ADX (14) | Buy | Neutral | Neutral | |
| CCI (14) | Neutral | Sell | Neutral | |
| AROON (14) | Buy | Buy | Buy | |
| Alligator (13; 8; 5) | Buy | Buy | Sell | |
| SAR (0.02; 0.2) | Buy | Buy | Buy | |
| Aggregate | ↗ | ↗ | → | |