Opened early Europe at $1.2258, EUR/USD closed in NY at $1.2253 after seeing lows in this session of $1.2235. Rate marked an early low of $1.2246 in Asia before a reserve manager emerged as an early buyer (in cable as well) lifting the rate to an initial high of $1.2255 before fund demand extended move to $1.2267. Rate drifted off to $1.2250 before edging on to $1.2270 into early European dealing. Rate dropped back to $1.2255 before picking up fresh buy interest, the rate able to extend highs on to $1.2278 before faltering. Rate again drifted off to $1.2260/55 area and bounced more aggressively, pushed above $1.2280 on leveraged demand, before meeting decent sell interest placed ahead of $1.2300. Rate touched a high of $1.2297 ($1.2296 61.8% $1.2334-1.2235) before easing off, traders noting semi official supply from the highs, with rate squeezing back to $1.2275/70. Recovery effort from here were reportedly meeting Dutch AAA name sell interest in late morning trade, with semi official a noted buyer this time in low $1.2270’s. Stops $1.2300, larger above $1.2320.
EasyForexNews Research Team