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"Markets will likely continue to view any move to withdraw policy as the first step of many and, as a result, volatility is likely to remain elevated as the market balances incoming data with Fed communications about its policy stance."
- Barclays (based on Reuters)
Pair's Outlook
After being supported by the weekly PP for some time pair is currently hovering slightly below 1.34 and seems to be aiming at 1.345 area. Such scenario is also indicated by the short term technicals. However, it seems more than likely that 1.345 are should hold up and fail the pair. After that it should stop at 1.330 area.
Traders' Sentiment
Bulls strengthened their presence in the market by additional 1%. At the moment they account for 64% of market participants. Pending orders, however, are once again perfectly distributed between the long and short traders.
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