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18 Mar 2013
Forex Flash: Selling tone would prevail in EUR – Rabobank
FXstreet.com (Barcelona) - The single currency is extending its correction lower on Monday after a failed attempt to climb further ran out of steam around 1.2980
The bull attempt came after the bailout in Cyprus dragged the cross to session lows in the vicinity of 1.2880 overnight.
According to the last CFTC COT report, Strategist Jane Foley at Rabobank suggested, “EUR shorts declined modestly. Despite the better tone the ongoing uncertainties connected with the Italian election result and the news that Cypriot depositors may be taxed as part of the island’s bailout should keep the EUR on the back foot”.
The expert also added that USD longs rose last week after US data came in above estimates, prompting investors to think about a less dovish tone from the Fed in the future
The bull attempt came after the bailout in Cyprus dragged the cross to session lows in the vicinity of 1.2880 overnight.
According to the last CFTC COT report, Strategist Jane Foley at Rabobank suggested, “EUR shorts declined modestly. Despite the better tone the ongoing uncertainties connected with the Italian election result and the news that Cypriot depositors may be taxed as part of the island’s bailout should keep the EUR on the back foot”.
The expert also added that USD longs rose last week after US data came in above estimates, prompting investors to think about a less dovish tone from the Fed in the future