Opened at $1.2450 after $1.2407/1.2524 overnight range, EUR was again on the defensive ahead of the EU Summit after a brief rally atop $1.2500 fizzled, the pair erasing layered stops in a sharp slide to $1.2407. Euro recovery off lows stretched to $1.2460 in early US dealings but pair retreated quickly from there and cracked back to $1.2415 on UK name sales in size around the ECB fixing. With solid bids ahead of $1.2400, and trading enthusiasm limited, euro rebounded to $1.2445 as shorts booked quick profits, but gains quickly faltered as euro settled into a $1.2425/45 range. Mid-morning, as stocks wilted to steep losses, risk-appetites faded again, weighing on euro with slow drift to $1.2420 ahead of the London fixing, with recovery to $1.2442 just after the fixing but with flows very muted. From there, and against a backdrop of slowly wilting stocks, euro eased to $1.2415 ahead of the IMM close, matching the morning low, rebounding to $1.2430 shortly thereafter.
EasyForexNews Research Team