Closed in NY at $1.3261, just off recovery highs of $1.32708 seen after the euro made strong gains on reports that a Greek debt deal was nearing conclusion. Rate initially edged to $1.3266 into early Asian dealing on EUR/AUD demand, with demand for EUR/JPY also seen into the Tokyo fix. Rate reversed to session lows of $1.3241 before picking up fresh demand, middle east noted buyers from $1.3255 to $1.3275, buying again into the dip to $1.3265 that took rate on to $1.3286 into early Europe. Same middle eastern names were also noted sellers into the rally highs, countering any triggered stop buying above the technical level at $1.3281 (old H&S neckline from Sep’11). Rate retains a firm tone, as market keeps its positive outlook on a Greek debt deal, currently trading around this technical level at writing. Larger stops noted above $1.3290, but expected to meet sell interest into $1.3300. Further stop interest noted through $1.3315/25, which if triggered exposes the 100-dma at $1.3336. Support seen back at $1.3250. Greece headlines continue to act as main driver.
EasyForexNews Research Team