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"The euro fell towards the 200-day SMA and we saw it rebound ahead of that level. We are expecting the euro to continue to consolidate between there and $1.31 until we can get any major new catalysts"
- Forex.com (based on CNBC)
Pair's Outlook
Buying pressure at 1.2856/26 in conjunction with support at 1.2796/82 is keeping the pair from declining. As long as they stay intact, positive bias will be preserved. Otherwise, levels at 1.2717/1.2697 and 1.2589/59 will come under threat. EUR/USD is expected to lift from 1.2856/26, climb over some of the obstacles overhead, such as 1.2930/63 and 1.3063, and reach 1.3327—a major downtrend resistance line before a long term decline.
Traders' Sentiment
The share of bulls in the market continues to increase, although they still remain in minority (45%) and therefore the overall sentiment of traders is slightly bearish. As for the orders, 52% are to buy the greenback and 48% are to sell it against the single European currency.
© Dukascopy Bank SA