EUR/USD resumes downward movement

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The Italian economy is experiencing a period of terror and worry because of messages not only of austerity, but on terror and fear of the future."
- Matteo Renzi, Italy Prime Minister (based on CNBC)

Pair's Outlook
It seems that bears gained some strength around the level of weekly PP at 1.1857, as the EUR/USD dropped on Tuesday below 1.18 and went even further down. It breached the monthly S2 support and was stopped only by 2015 low at 1.1754. Taking into account bearish indicators on a daily chart, a violation of 2015 low/weekly S1 around 1.1745 is possible in the near term. In case of failure, the Euro is likely to show some minor bullish development back to 1.18. 

Traders' Sentiment
Market sentiment on EUR/USD pair remains rather neutral, while the overall advantage of bulls over bears is still negligible at 52% versus 48%. Pending orders to in 100-pip range are remaining bearish, as longs have only 32% of them at the moment.

© Dukascopy Bank SA

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