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- Handelsbanken (based on MarketWatch)
Pair's Outlook
The support at 128.55/127.86 forced the currency pair to back off, though it appears the rally will be unable to extend beyond the recently breached 55 and 100-day SMAs. Accordingly, the pressure on the monthly pivot point increases and with each new day it has less and less chances of staying intact. The dip is expected to be exhausted at lower levels, presumably around the 200-day SMA.
Traders' Sentiment
Both currencies are losing in popularity on average, although while the Euro is generally bought in 39% of cases, the Asian currency is the one least preferred in the SWFX marketplace with merely 25% of Yen-long positions in its crosses. Particularly in the sentiment towards EUR/JPY this advantage is absent, 51% of traders are bulls and 49% are bears.
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