EUR/USD: Euro the underperformer last week, CoT short bias rises
US to raise tariffs on European aircraft imports, technical overview remains heavily tested.
EUR/USD Technical analysis, overview, strategies, and levels
After suffering nine red sessions out of the past ten, the euro was the worst performer amongst the FX majors and taking EUR/USD’s price past a short-term support level on the weekly. A negative DMI (Directional Movement Index) cross occurred on the weekly, and on the daily all its main technical indicators are flashing red and combined with a trending ADX (Average Directional Index). Eurozone data didn’t impress with German preliminary GDP (Gross Domestic Product) figures failing to show any growth, and where on the trade front the US is set to raise tariffs on European aircraft imports from 10% to 15%.
IG client* and CoT sentiment for EUR/USD
In sentiment, retail bias is now in extreme long levels rising 11% on last week’s 69% buy bias, while the latest CoT (Commitment of Traders) report shows the bias amongst larger speculative traders at a majority short 60% rising a notch on an increase in short positions by 13,139 lots outdoing a smaller increase in euro long positions by 2,550 lots.
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