- BK Asset Management (based on Investing.com)
After the Euro scored gains against the US Dollar and passed the 1.14 level on Wednesday, the pair retreated on Thursday and fell to 1.13. Main reason for the depreciation of the European currency was Mario Draghi's gloomy warnings of EU being at lasting economic damage risk. However, some profit takers might have affected the currency exchange rate also, as many took out profits, as the pair had surged since last Friday's US non-farm payrolls data release, which made the Euro spike against the Greenback. At the moment, the pair has just passed the 55-day SMA and it is moving towards the monthly and weekly pivot points around 1.1280.
SWFX traders have become less bearish, as open short positions have decreased to 54% from yesterday's 56%.