EUR/USD breaches 1.3642

After EUR/USD dipped down to the monthly pivot point, some of the technical indicators turned bullish. Subsequently, the currency pair managed to close above the down-trend resistance line. Now the exchange rate is facing a strong supply area represented by the monthly R1 at 1.3678, but is likely to keep on advancing until it meets the key level at 1.3746/44.

Although the pair covered nearly 100 pips yesterday, the sentiment towards EUR/USD stays exactly the same as 24 hours ago—36% of positions are long and the majority, 64%, of them are short. At the same time, the portion of sell orders declined, from 71% down to 60%.