EUR futures: rally poised to continue

CME Group’s preliminary data for EUR futures markets saw open interest rising by more than 13.8K contracts on Thursday vs. Wednesday’s 464,143 contracts. Volume followed suit, increasing sharply by nearly 243.7 contracts.

EUR/USD upside now targets 1.2167

The upside momentum around EUR/USD stays well and sound so far after the ECB left its monetary conditions unchanged at yesterday’s meeting, leaving at the same time the door open for a potential announcement regarding ‘tapering’ its QE programme at the next meeting (October).

Increasing volume and open interest in combination with rising prices is a bullish sign and allows the possibility of a test of the 1.2167 level, the 50% Fibo retracement of the 2014-2017 drop.