- Rabobank (based on Reuters)
As it turned out, a correction in the EUR/JPY did not take place, and the pair slid for the third consecutive day yesterday. Although the Euro edged down by only nine pips, chances of a rally have become slim. The daily technical indicators are emitting neutral signals at the moment, but the single currency is still likely to edge down, amid the already released poor EU data, which is putting the Euro under considerable downward pressure.
Market sentiment among SWFX traders slightly improved, as 58% of all positions are now long (previously 57%). At the same time, the percentage of buy orders crossed the 50% mark, and now 56% of commands are set to purchase the Euro.