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"Further deterioration in risk sentiment today could prompt investor comparison of relative current account stress - in terms of both funding and depth of local asset liquidity."
- Credit Agricole (based on The Economic Times)
Pair's Outlook
For the past two weeks 20-day SMA kept the pair at bay, but it finally managed to breach it. As short and medium term technicals still point out the weakness of the pair we should not expect any significant moves in the nearest future, but a rather neutral consolidation above the 20-day SMA.
Traders' Sentiment
Despite the prolonged bearishness, market sentiment remains significantly bullish. Long traders continue to hold overwhelming, 74% (-1% since yesterday) share of all open positions. In addition, 70% of all pending orders, which is a 10% increase since yesterday, are set to go long on the pair as well.
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