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– Morgan Stanley (based on Bloomberg)
Pair's Outlook
The common European currency is surging on Thursday morning against the US Dollar, as the currency exchange rate remains near previously reached heights around the level of 1.1250. The surge is ongoing on Thursday due to the fact that the rate did not sustain the surge on Wednesday, after the rate jumped on Tuesday. The pair fell and found support in the weekly R1 at 1.1230 and rebounded against it. Today's movement is a continuation of the rebound and there are no reasons for it to stop, as the next resistance still remains at 1.1305.
Traders' Sentiment
Swiss Forex traders continue to increase the bearish stance in expectations of a consolidations after the big Tuesday's jump, as 62% of positions are short. In the meantime, pending commands are 53% to sell, which show that a sudden fall is unlikely.
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