© Dukascopy Bank
"The ECB is growing its balance sheet. That's a negative for the euro"
- Citibank (based on WSJ)
Industry outlook
The recent bullish correction is now deemed to be over. The initial target for the pair lies at 1.3322, followed by a support at 1.3293. Lower levels could be found at 1.3199, 1.3126 (55 day ma) and 1.3066.
Traders' sentiment
The gap between the long and short positions on EUR/USD currency pair has narrowed down to 19%. Nonetheless, the traders' sentiment is still bearish.
Long position opened
The initial resistance level for the pair is 1.3508. If the price continues increasing, the investors will hold longs until the pair climbs up to 1.3539 or 1.3600.
Short position opened
In case of dips, another rally may start after rebounding from the initial support level at 1.3417. However, assuming that the bearish momentum does not weaken, investors will pay attention to the lower support levels at 1.3357 and 1.3326.
© Dukascopy Bank