"There was some short covering in the euro after the inflation data. The numbers are mostly better than expected. The euro was also supported as I sense the market has largely pushed out a March rate hike by the Fed."
- Mizuho Bank (based on Bloomberg)
Pair's Outlook
EUR/USD rallied for a fourth consecutive day on Thursday and touched the closest resistance area around 1.0950/70. Friday's Asian session is registering some profit taking, but US GDP later in the day will be a key driver for this currency pair. A negative surprise can result in a climb above 100-day SMA at 1.0972, followed by another formidable supply near 1.1050 (200-day SMA; weekly R2). Positive data, however, should pave the way for EUR/USD's drop toward 55-day SMA at 1.0835, which is preceded by two-month uptrend 15 pips more from the upside.
Traders' Sentiment
SWFX bears remain in the majority of 55% for open positions. Meanwhile, pending orders deteriorated again to be bearish in 53% and 51% of all cases in 50/100-pip ranges, respectively.
- Mizuho Bank (based on Bloomberg)
Pair's Outlook
EUR/USD rallied for a fourth consecutive day on Thursday and touched the closest resistance area around 1.0950/70. Friday's Asian session is registering some profit taking, but US GDP later in the day will be a key driver for this currency pair. A negative surprise can result in a climb above 100-day SMA at 1.0972, followed by another formidable supply near 1.1050 (200-day SMA; weekly R2). Positive data, however, should pave the way for EUR/USD's drop toward 55-day SMA at 1.0835, which is preceded by two-month uptrend 15 pips more from the upside.
Traders' Sentiment
SWFX bears remain in the majority of 55% for open positions. Meanwhile, pending orders deteriorated again to be bearish in 53% and 51% of all cases in 50/100-pip ranges, respectively.