EUR/USD: Friday’s move aids its short-term technical overview, but easily at risk of being undone
Weekly bear trend channel barely holding ahead of another week of expected light trading.
EUR/USD Technical analysis, overview, strategies, and levels
European currencies outperformed last Friday, and aided in taking EUR/USD’s price back up into the 1.11’s. There wasn’t any real catalyst for the move that helped infuse its short-term technical overview with more positive technical bias, and hence leaves the currency pair at risk of being undone. From a weekly standpoint, it’s at the upper end of its bear trend channel, and where positive technical bias is forming on the daily following its pricing crossing above its 200-day moving average.
IG client and CoT sentiment for EUR/USD
Friday’s move alone was followed by days of relatively narrow range-bound movement, and hence enticed retail longs into taking profit and shorts into initiating, and shifting retail bias from what was a slight long 54% at the start of last week to a majority short 60% at the start of this week.
EUR/USD Chart with retail and institutional sentiment
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