EUR futures: deeper pullback on the cards

In light of preliminary figures for EUR futures markets from CME Group, investors added near 1.5K contracts to their open interest positions on Tuesday from Monday’s 493,279 contracts. In the same line, volume increased by around 43.4K contracts, reverting part of Monday’s sharp drop.

EUR/USD now targets 1.1500

Tuesday’s drop in EUR/USD has been on the back of diminishing open interest and volume, a bearish signal that opens the door for extra retracements and a probable test of 11-month lows in the 1.1500 neighbourhood in the near term.