The EUR/USD OTC market is exhibiting a neutral sentiment with a slight downward trend, as indicated by the following signals:
- Technical Overview: The EUR/USD is trading below the key resistance area of 1.0900, which includes the May high of 1.0812, the 100-day SMA of 1.0829, and the April top of 1.08851. This suggests a bearish trend in the short term.
- Market Sentiment: The market sentiment is cautious, with traders awaiting key economic data and speeches by Federal Reserve officials1. This uncertainty can lead to volatile but short-lived price movements.
- Probability of Fed Rate Reduction: The FedWatch Tool indicates a high probability of a Fed rate reduction in September, which could impact the USD and potentially lead to a short-term uptick in the EUR/USD1.
In conclusion, the EUR/USD OTC market is currently showing a slight downward trend with a neutral sentiment. Traders should be prepared for short-term volatility and potential quick reversals in direction.
7/19/2024 12:51am
