EUR/USD: Euro rises off the lows but remains tested
Retail long sentiment remains in heavy long territory awaiting retracement back up.
EUR/USD Technical analysis, overview, strategies, and levels
With a dearth of Eurozone data, yesterday's market focus for EUR/USD traders was on the US Federal Reserve (Fed) Chair Powell's testimony, whereby he reiterated that the US economy was in a good place despite threats from the coronavirus (COVID-19). However, while the euro was in retreat against most of the FX majors, it managed to finish higher against the US dollar for the session. As for the ECB's (European Central Bank) Lagarde, in a speech she reiterated the need for other policies saying that monetary policy "cannot and should not be the only game in town", but fiscal policy in the current context of the Stability and Growth pact that will limit deficit the likes of which we are seeing in the US would make fiscal easing difficult. Data remains low-impacting out of the bloc today, while the Fed's Powell will be back to testify for the second and last day.
IG client* and CoT sentiment for EUR/USD
EUR/USD Chart with retail and institutional sentiment
*The percentage of IG client accounts with positions in this market that are currently long or short. Calculated to the nearest 1%, as of today morning 8am.
Be sure to request IG’s Weekly & Daily Market Report when you open an account with IG Dubai and get access to the full information on the FX majors, commodities, indices, and Bitcoin.
This information has been prepared by IG, a trading name of IG Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.
See an opportunity to trade?
Go long or short on more than 17,000 markets with IG.
Trade CFDs on our award-winning platform, with low spreads on indices, shares, commodities and more.
Live prices on most popular markets