EUR/USD: Negative technical bias worsens while majority long bias rises amongst retail traders
Germany’s IFO figures largely in line with expectations, GfK and ECB speak up next today.
EUR/USD Technical analysis, overview, strategies, and levels
German IFO business climate figures didn't stray far from expectations yesterday, and today's GfK consumer sentiment reading is up next expected to show a figure similar to last month's 9.6. However, in the absence of any significant Eurozone data it's likelier that US data released later in the evening may affect the USD aspect of this pair's price, with CB's consumer confidence figure expected to improve following last Friday's revised UoM consumer sentiment. Earlier today, the US Federal Reserve (Fed) Chairman Powell gave a speech earlier today where he made mention of 'room to build' within the context of the US economic expansion. Out of the Eurozone we’ll get some ECB (European Central Bank) speak today from a few of its members. From a technical standpoint, the consecutive price declines have kept EUR/USD’s price below all its main moving averages, and where a negative DMI (Directional Movement Index) cross occurred yesterday on the daily.
IG client and CoT sentiment for EUR/USD
The price declines have enticed more shorts into closing out and with range-trading longs possibly entering at the short-term support level. But with a relative lack of movement, retail bias has only edged slightly higher to a majority long 58%, the exact opposite of majority short institutional traders at 58% short.
EUR/USD Chart with retail and institutional sentiment
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