EUR/USD gains above the 20-day SMA

EUR/USD gains above the 20-day SMA

'Assuming it is all signed off, markets aren’t likely to be fussed about the details. Euro should make a run at $1.31 in a relief rally.' - Westpac Banking Corp. (based on Bloomberg)

Pair's Outlook

News from Cyprus inflamed bullish sentiments in the major currency pair, as the price surged on Monday’s trading session. The pair overcame the 20-day SMA at 1.2993 and was moving higher towards the upper boundary of last week gap at 1.3069. It is very likely that EUR/USD finally closea the gap in the beginning of this week. After that the closest resistance is only at 1.3096/1.3113 area, where the weekly R1 and Bollinger band are positioned.

Traders' Sentiment

The difference between bullish and bearish sentiments remains factional, as 49% of positions are long and 51% are short. Pending orders segment exhibits slightly bearish sentiments, as the buy side possesses 52% of the market.