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- Credit Agricole (based on MarketWatch)
Pair's Outlook
The fundamentals overrode technicals yesterday, and weak US data threw EUR/USD over several important resistances, paving the way for an extension of this rally. The upside is no longer limited by the monthly R1 and September high. And even though the long-term indicators are bearish, the pair has a good chance to visit monthly R2 at 1.1613 and even attempt to break higher. Still, we would like to see confirmation of the new support at 1.1450 first.
Traders' Sentiment
Yesterday's spike resulted in a change in the SWFX sentiment, which became bearish (61% of positions are now short). At the same time we note a material increase in the share of buy orders. These could be SLs that may accelerate the move if the price keeps rising.
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