EUR/USD at 4-week low, supported by 1.1220

Last Friday the EUR/USD pair traded down and closed at the 1.1220 mark, posting a more than 60-pip daily slump. Short-term upward correction seems very possible, as the exchange rate has neared the bunch of supports around 1.12, namely the monthly pivot point and 55-day SMA. They are followed by the lower Bollinger band and weekly S1 at 1.1173 and 1.1161, respectively. Intraday dips below here would put at risk the area around 1.1065 (200/100-day SMAs). Meanwhile, on the topside the closest resistance is the weekly pivot and 20-day SMA at 1.1279/88.  

The SWFX market is getting more positive with respect to the common currency, as the number of long positions rose to 44% by the April 25 morning. This is up from 42% we had seen back on Friday.