‘Current bullish rally is part of wave C, that may see more gains in sessions ahead, ideally towards the upper channel line.’ – Gregor Horvat, Elliot Wave Financial Service (based on investing.com)
Pair’s Outlook
On Thursday morning the common European currency against the Greenback remained below the combined resistance of the weekly R1 at 1.0814 level and the 38.20% Fibonacci retracement level at 1.0826. Although the resistance was holding, various clues were indicating that it will be broken sooner or later. In the case that unfolds, the currency exchange rate would surge to the next combined resistance cluster, which is located around the 1.0885 mark. The cluster consists of the weekly R2, 200-day SMA, the upper Bollinger band and an upper trend line of a medium term ascending channel pattern.
Traders’ Sentiment
Traders remain bearish as 62% of open positions are short on Thursday. Meanwhile, 54% of trader set up orders are to sell the Euro.
