© Dukascopy Bank SA
"Market tone continued to be upbeat amid a series of strong Chinese data and calming situation on Syria, as oil and gold prices retreated. The worries on Syria have not completely gone away as disagreement remains on the exact terms of the resolution in the United Nations, but Russia's proposal has calmed things down for the time being."
- Credit Agricole (based on The Economic Times)
Pair's Outlook
It seemed that 20 and 55-day SMAs should kick the pair back above the 94 cent mark, however, bearish momentum was too strong. We cannot confidently rule out sell off to 0.917 as it took only few days for the pair to rise from that level to where it is now just a few weeks ago. Short term rallies should be capped by the 0.937 and should rise above the recent high at 0.945 to lift all the downside pressure.
Traders' Sentiment
Bulls have abandoned some 4% of market, but they continue to hold significant majority (68%) of all open positions. Distribution of pending orders remains at 63% gauge, in favour of the bulls..
© Dukascopy Bank SA