Closed in NY at $1.3222, having seen recovery highs in this session of $1.3253, off earlier lows of $1.3172. EUR/USD was on the rise into early Asia, tripping stops as rate moved above the NY high before demand for EUR/JPY, as rate targeted and triggered the barrier at Y111.00, boosted the move to $1.3273. US custodial buys provided the added demand that took rate on to $1.32835 highs. Corrective pullbacks were buoyed above $1.3260, with rate trading around $1.3270 into early Europe. Light data calendar again today with Bernanke and Geithner testimony in front of an oversight committee to draw attention. EUR/USD said to remain buoyed by a mix of Asian sovereign demand along with ongoing unwinds of euro crosses (Aussie and Kiwi mentioned), though some Asian traders point toward the yuan fix and suggest that rate could squeeze lower later in the day. Offers seen placed to $1.3290 with stops above, with better sell interest seen placed from above $1.3300 through to $1.3320. Above here and rate can edge toward $1.3340 ahead of $1.3350/60 ($1.3356 Mar1 high). Support $1.3230.
EasyForexNews Research Team