© Dukascopy Bank SA
- CIBC World Markets (based on Reuters)
Pair's Outlook
The greenback successfully breached the weekly R2 at 1.0915 and most likely the next challenge will be the 55-day SMA and weekly R3 at 1.0938/44. Even though a decline is possible in our opinion there is higher possibility of an advance as the pair seems bullish. Also this surge is long awaited by pair's bulls as the pair has been on a downtrend since the second half of March. The monthly technical indicators also support the idea of pair's advance.
Traders' Sentiment
As the pair has gained in value the sentiment has gone down, compared to yesterday there are 4% less bullish traders (66%). However, the distribution between the buy and sell orders is quite stable—48% and 52% respectively.
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