Closed in NY Monday at $1.2765, toward the upper end of its intraday trading range of $1.2666/1.2785. Rate initially edged higher into early Asian dealing, with talk of stops above $1.2785, and larger ones above $1.2800, seen as the early attraction. Rate traded to an early high of $1.2782 before settling between $1.2760/80, with strong sales of EUR/NZD cited for providing headwind sell interest. Rate began to pick up demand ahead of the European open, breaking above $1.2785 and extending to $1.27958 before settling above $1.2780 into
Europe. Offers seen placed toward $1.2800, more between $1.2808/13, though stops are seen mixed in above $1.2800 and said to trail up to $1.2825. Further sell interest said to emerge above this latter level though most see stronger interest placed around the $1.2858 level (2011 low). Support remains at $1.2760, more toward $1.2720. Data calendar fairly light today, French IP the most interesting of the early releases. Fed speakers on the agenda for later in the day, as is Merkel’s meeting with IMF Lagarde.
EasyForexNews Research Team