The release of hawkish FOMC minutes where several members suggested the idea of cutting QE or halting it before year-end added weight to the currency pair. Euro-dollar extended losses in the US afternoon and flushed some stops through $1.3050 to close at session lows of $1.3046. Short covering around the Asian open briefly lifted to $1.0354 before fresh selling emerged and pressed lower. Stop-losses were flushed through $1.3040 and $1.3030 to print lows of $1.3019, before meeting demand from a US named bank. The rate made an attempted recovery and ground to $1.3040 ahead of Europe. On the downside strong demand seen through $1.3015/00, techs at $1.2987/85 (55-day ma, 50% of $1.2662-1.3308), with system stop sell orders on a break of $1.2980. Markets expected thin and choppy today ahead of US Non-Farm Payrolls at 1330GMT, they are forecast to rise by 150,000 in December after increasing by 146,000 in November.
EasyForexNews Research Team