- Christopher Vecchio, DailyFX (based on MarketWatch)
The Euro rebounded after it touched upon the formidable 1.0970/50 demand area. However, the 200-day SMA remains intact, and it still might not let the rate to exit this week's range. In case of a close above 1.1050, the rally will have a good chance of extending up to 1.1115, namely the monthly R2 level. In the longer-term perspective, EUR/USD is expected to recover to 1.14 dollars, which is the current level of the upper bound of the ascending channel.
The difference between the amounts of long and short positions is negligible—merely 2 percentage points, meaning the sentiment is neutral. As for the orders, the portion of commands to sell the single currency inched higher from 54 to 62%.