The Euro climbed 0.14% during the last week, while the buck lost 0.32%, sending EUR/USD to 1.3678, the highest since October. The pair has penetrated strong resistance at 1.3650, and is not trading in boundaries of a rising wedge pattern anymore. Despite the fact, 56% of traders were holding short positions, the pair is likely to move to the north, as slight majority (52%) of pending orders in a 100 pip range are placed to buy the pair, while aggregate technical indicators on a 4H, daily and weekly charts are sending "buy" signals. Therefore, the short, medium and long-term perspectives are long, and the next targets for the long traders are located at 1.3698 and 1.3773. The pair is expected to be driven by technicals this week, as there are practically no news with a high importance from Europe and the United States, but the U.S. retail sales and jobless claims reports on Thursday. Additionally, the single currency is likely to benefit from Mario Draghi's comments, who pledge to monitor the economic performance, however, suggested no further stimulus measures in the nearest future.
The pair that was worth paying attention last week was AUD/NZD, as the Aussie was one of the main losers, while the kiwi soared the most. The pair hit 1.099 on December 5,the lowest since October 2008. Traders, however, do not support further depreciation, as 72.62% of them were holding long positions, while the Aussie was bought in 74% of all cases across the board, and the kiwi was sold in more than 70% of the time. Taking into account the fact that the RBNZ press conference and interest rate decision are scheduled for December 11, and a day later the Australian Bureau of Statistics will unveil the nation's unemployment rate, the pair is expected to be highly volatile. It is hard to predict pair's future movement, as current trend is strongly bearish, technical indicators are sending mixed signals on different timeframes, while traders expect the pair to appreciate. Nonetheless, the key level for short traders could be found at a recent low and weekly S3 at 1.100, while bulls may focus on 1.111 (November's low and weekly S1).