- IG Securities (based on Reuters)
The Greenback retreated from its intraday high after the US data disappointed yesterday, thus confirming the resistance line at 121.74. This resistance is now under higher pressure, as the US fundamentals are expected to be in favour of the US currency. As a result, the Buck is likely to retake the 122.00 major level and possibly even pierce the resistance cluster around 122.10. However, risks of falling below the Monday's opening price persist, as weekly technical indicators are giving signals and the immediate resistance might cause the USD/JPY to bounce back on weak data.
Slightly less than three quarters (73%) of traders are now short the USD. The share of buy orders barely changed: slid from 56 to 55%.