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"The global recovery is very slow. The risks may have receded, but they've not disappeared."
- SNB President (based on Bloomberg)
Pair's Outlook
Pair ended the last week with a major sell off, but seems to have stabilized for now. Despite the evident recent downtrend pair should remain above the 90 cent gauge at least in the short term. Medium term technicals, however, highlights the vulnerability of the pair. Failure below the 90 cents is highly likely to send the pair to 89.2 cents. If the pair wants to recover it has to show a solid close above the 91.3 cents. That would put 92.7 as the next major resistance.
Traders' Sentiment
Some increased bearishness can be observed in the market this week. Share of open long positions fell by 3% and is at 70% gauge today. Distribution of pending orders skewed in favour of the bulls by 7% leaving 66% in favour of the bulls.
© Dukascopy Bank SA