The pair was a big mover following Bernanke’s remarks earlier today as it jumped from the open of $1.3538 and broke above last night’s $1.3548 high to reach $1.3579, its best level since Nov. 1. Euro-dollar’s stop-driven gains were however not sustained, and it then slipped back to $1.3553 before then getting squeezed further to $1.3546. The pair didn’t make any major attempt to test the $1.3534 opening lows and was held near $1.3550 through the rest of the morning. Euro-dollar was last at $1.3552. A break higher is currently favoured while the pair remains supported above the $1.3470-75 region. Stops are noted above the $1.3550 level with a break higher then seeing immediate focus shift to a retests of the $1.3650 level that previously supported. Any move backthrough $1.3510/00 likely to see further support off last night’s $1.3495/90 Europe/US session lows, ahead of $1.3488.
