EUR/USD approaches main support

The Euro is getting closer and closer to the key support level at 1.35, which has a chance of stopping the current sell-off and initiating a recovery. However, there will still be tough resistances lying overhead, such as the 200-day SMA at 1.37 and major down-trend at 1.3850. These obstacles are unlikely to let the common currency appreciate in the long run. And if 1.35 fails to underpin the price, it could potentially expose 2013 lows, namely 1.28.

Today there are relatively more long positions than yesterday (52% against 51%), but overall the sentiment remains neutral towards EUR/USD. Meanwhile, 50 pips from the spot the buy orders dominate with 65% of the market.