EUR futures: pullbacks viewed as buying opportunities

According to CME Group’s preliminary data for Wednesday, open interest in EUR futures markets dropped by more than 1.8K contracts vs. Tuesday’s final reading at 436,899 contracts.

Further upside still on the cards

Profit taking sentiment appears to be behind yesterday’s correction lower in EUR/USD from fresh 2017 tops near 1.1500 the figure on Tuesday. The contraction in open interest plus declining prices signals some liquidation of long positions (bearish sign), although as soon as this is over, the market should be ready to rally again.