Closed in NY at $1.3077 after rate saw another reversal off $1.3100, with rate recovering off a NY afternoon pullback low of $1.3060. A slow start in Asia with early sales eventually able to squeeze rate down to $1.3067 before rate picked up fresh demand which took it on to $1.3095. Move toward $1.3100 again met decent supply, with rate easing back to $1.3082 before building demand for another run higher. Rate managed to extend highs to $1.3100 but supply here halted the move with rate easing back under $1.3090 at writing. Should rate break and clear above $1.3100 it should expose the recent high at $1.3127, with traders noting that offers are seen placed around this level from $1.3110 through to $1.3130. Support remains back at $1.3060, stronger into $1.3040. Flash releases of major Eurozone PMI’s the morning’s interest, with Eurozone inflation and employment data also of note, though the latter two not seen as a market mover. Decent volumes have been reported though rate activity not reflecting. Sovereign demand from various directions provides the underlying upside drive.
EasyForexNews Research Team