Euro Looks Likely to Test Monthly Peaks

By DailyFx | Updated July 30, 2014 AAA

DailyFX.com - Euro Looks Likely to Test Monthly Peaks

Receive the Weekly Speculative Sentiment Index report via PDF via David’s e-mail distribution list.

EURUSD – Retail FX traders have sold aggressively into recent Euro strength, and a contrarian view of crowd sentiment suggests the pair could trade into fresh monthly peaks.

Trade Implications – EURUSD: Last week we highlighted a potential retail sentiment extreme as a key reason the Euro may bounce; the trading herd was extremely long EURUSD and one-sided positions pointed to a reversal.

Now crowds have sold aggressively into the Euro rally, and it seems likely that the pair continues onto test recent highs near $1.3675. A break above the June high would shift our overall bias in favor of Euro strength.

See next currency section: GBPUSD - British Pound Could Rally into $1.7300

You May Also Like

COMPANIES IN THIS ARTICLE
Related Forex Analysis
  1. Forex News

    EUR/USD decline is far from over – Danske Bank

  2. Forex News

    EUR/USD keeps losses around 1.1045, ECB in focus

  3. Forex News

    Eurozone negative yields driving EUR lower – BTMU

  4. Forex News

    EUR/USD next support at 1.0765 – KBC

  5. Forex News

    EUR/USD attempts a bounce to 1.1050

Trading Center