EUR futures: still bullish… momentum losses traction

CME Group’s preliminary figures for EUR futures markets showed open interest extending its up trend, this time increasing by nearly 4K contracts vs. Wednesday’s final 464,897 contracts. On the opposite side, volume dropped significantly by over 68K contracts and is navigating in levels below the so far monthly average.

EUR/USD extra gains hinge on NFP

No change on the last view. EUR/USD keeps the solid performance so far, currently hovering over the vicinity of the 1.1900 handle, always backed by the continuation of the selling bias around the buck. Increasing open interest coupled with rising prices implies the up trend remains well in place.

However, a positive surprise at today’s US payrolls, coupled with current overbought levels in spot could play against extra gains, at least in the near term. In the medium to longer term view, further appreciation of EUR appear also difficult, as it could undermine the ECB’s prospects of inflation.