EUR/USD: Ending the week in the red after five consecutive days of losses
CoT bias turns further bear, retail bias shifts to majority long
EUR/USD Technical analysis, overview, strategies, and levels
The US dollar outperformed for the week, and against the euro which suffered five consecutive days of losses it was a clear finish in the red for this pair’s price that ensured its bear trend channel continues to hold on the weekly, and with its price now below all its main moving averages on the weekly and daily charts. The question now is whether that weakness will persist towards the lower end of its bear trend channel, as a string of Eurozone and US data will be released this week that’ll include Gross Domestic Product (GDP) figures for the former, and Consumer Price Index (CPI) and Federal Reserve Chairman Powell testifying for the latter.
IG client and CoT sentiment for EUR/USD
As for sentiment, retail bias has shifted from a previous majority short 59% to a now majority long 57% on a combination of short profit-taking and long initiation. As for institutional sentiment, they remain little changed on last week’s majority short 57% bias, with a reduction in euro long positions by 2,357 lots and an increase in euro short positions by 5,114 lots.
EUR/USD Chart with retail and institutional sentiment
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