© Dukascopy Bank SA
- Sumitomo Mitsui Trust Bank (based on Bloomberg)
Pair's Outlook
Although we were expecting a more gradual descent, EUR/USD did breach the support at 1.3659/44 as intended and in the next moment pierced through the 100-day SMA. As a result, the Euro reached the monthly S1 yesterday and may therefore take a short break before resuming the decline, even though some of the longer-term technical indicators turned bullish.
Traders' Sentiment
For now there was no reaction from the market to the yesterday's poor performance of the common currency. The portion of short positions decreased only by two percentage points—from 62% to 60%. Meanwhile, among the orders, there was a significant rise in the share of sell ones—from 45% up to 70%.
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