- BNP Paribas (based on WBP Online)
On Wednesday, the Euro overperformed, as it appreciated against the Yen a lot more than anticipated. The EUR/JPY cross went over the 135 level and even reached as far as the nearest resistance. Ultimately, the pair stabilised at 135.38. Today, however, a slight correction is likely to take place. The single currency is to retreat to the 135 level, despite that the closest support rests at 132.90. Nevertheless, technical indicators keep pointing north-ish, suggesting further rally, which will doubtfully occur.
Market sentiment remains unchanged, with 45% of all positions being long. At the same time, the number of buy orders decreased, as today only 34% of them are to acquire the Euro (previously 48%).