EUR/USD rebounds from 1.38

As suspected, the support at 1.38 was enough to prevent further depreciation of the single European currency. The pair is already testing the resistance at 1.3842/31 (weekly PP and 20-day SMA) and may soon hit the up-trend line at 1.3923/13, which in turn is supposed to be much harder to breach. Meanwhile, a substantial majority of the technical indicators on all three most relevant time-frames are bullish.

There was a slight increase in the share of short positions placed on EUR/USD, from 65% up to 66%, meaning the noticeably bearish sentiment towards the pair persists. At the same time the percentage of buy orders increased from 44% to 50%.