EUR/USD seeks support at 1.12

Right now EUR/USD is moving in the direction of the accelerated up-trend at 1.12, which could help the Euro rebound during the first few days next week. However, the gains should be limited by the long-term falling resistance trend-line at 1.14, which played a major role in the second half of 2014. There the bears are expected to regain control of the currency pair, and the sell-off should resume. One of the main targets will then be the 100-day SMA at 1.11.

The gap between the bulls and bears has narrowed since the previous report, but still remains substantial—18 percentage points. As for the pending orders, there is currently no significant difference between the numbers of buy and sell commands.