EUR/USD awaits another impetus
EUR/USD pair fluctuated with no broad changes on Thursday, similar to those the same cross had posted back before Wednesday for eight consecutive days. The exchange rate is therefore currently guided by the weekly S2 at 1.1264, but the mid-term bearish focus is keeping eye on the 1.12 zone that is backed by the monthly pivot and weekly S3. Additionally, the 55-day SMA is sloping to the North near 1.1169 and will provide extra demand. Dips below here are unlikely over Friday, also because the indicators are predominantly long on the Euro.
"The dollar rally will come more from economic weakness elsewhere than the strength in the U.S. economy."
- Societe Generale (based on Bloomberg)
42% of all SWFX positions are bullish in the morning on Friday, no change for a third day in a row. On the other hand, pending orders set to trade the EUR/USD currency pair have finally moved in a positive direction to become 46-47% long (less than 40% yesterday).