Closed in NY at $1.2347 after rate had recovered from session lows of $1.2295 to $1.2350. Rate initially marked lows at $1.2342 in early Asian trade before edging up to an early high of $1.2355. Rate dipped to $1.2347 before stepping its way to an eventual high of $1.2361 ahead of the European open. Traders reported that risk appetite retained a firm tone, led by Aussie as it gained ground following the release of RBA Minutes showing less concern about Aussie strength than the recent Treasury report. Another light data calendar so attention will be focussed on headlines as market awaits Aug31 Jackson Hole and the ECB meeting Sep6 for direction. Offers seen placed into $1.2370 ($1.2369 Monday high) with main upside stops said to begin on a break of $1.2390 (placed above a series of recent highs between $1.2373-86), the level also holding the 55-dma today. Tech traders will watch reaction at the 50-dma at $1.2376. Support seen into $1.2340, a break to allow for a move down to $1.2320 ahead of stronger support between $1.2305-1.2295 ($1.2302 trendline support off Jul24 low).
EasyForexNews Research Team