EUR/USD/Flows and Orders/FXWW News/Technical Analysis

EUR/USD: Starting to exhibit some signs of strength

  • Heavy protection of 1.3400 barrier was eventually chewed through and quiet consolidation at that level is now a bullish sign.
  • Demand on the crosses also returned with more heavy EUR/AUD buying reported. EUR/GBP was another of the crosses to make a break up out of its recent consolidation range.
  • The market is still overwhelmingly bearish on the EUR and whilst shorts have been reduced, the market is definitely not long.

Overnight flows seem to suggest that the path of least resistance for the EUR/USD is higher and buying intraday dips towards hourly trendline support at 1.3350 would seem to make sense.

  1. Sean, agreed, I tried shorting at 3396 yesterday and closed at +1. Looks like the giant panda gave up defending the option? Will try shorting again at 1.35 or buying at 1.33. What do you think?

  2. Hi Gus, nice cheap trade, worth a try. I’m really not sure at the moment, momentum is currently bullish and the flows in the crosses are mainly EUR +ve so if I had to take a position I’d be buying near 13350 looking for 13500

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