EUR/USD: Five consecutive days of decline push retail long bias higher
CoT bias remains majority short and rises slightly as long positions plummet
EUR/USD Technical analysis, overview, strategies, and levels
Five consecutive days of decline for EUR/USD’s price meant that it ended last week clearly in the red, as European currencies took a hit and were relative underperformer in the FX market. Its price crossed below the last of its main weekly moving averages, and closer towards a short-term support level. With clear negative technical bias forming (and all its short-term daily technical indicators flashing red), this week’s preliminary GDP (Gross Domestic Product) figures as well as the ECB’s (European Central Bank) Lagarde speech tomorrow may carry more significance. Its price has broken past last week’s Weekly 1st Support level and edging closer to its previous 2nd Support level, and should volatility rise contrarian breakout strategies can’t be ruled out.
IG client* and CoT sentiment for EUR/USD
Retail long bias has risen 16% since the start of last week, while on the CoT (Commitment of Traders) front majority short bias increased due to a 13,728 lot reduction in euro longs and a simultaneous in euro short positions by 2,490 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.
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