The pair also started in Asia a touch stronger from where it had left off in New Yokr on Friday, trading at $1.3594 in the opening minutes of the session. It initially tracked euro-yen’s moves with a slight dip to $1.3581 lows and then rebounding strongly about an hour later. The move coincided with euro-yen’s move to its morning highs and as sterling also jumped on an early stop-loss hunt. Euro-dollar however failed to extend the moves significantly, as it topped out at $1.3612 and ran into selling on crosses includingeuro-sterling, which fell to a Gbp0.8274 low from Gbp0.8313. Euro-dollar witnessed another rebound attempt later in the morning but was capped at the earlier high. It briefly pulled back below $1.3600 for $1.3594 and was last at $1.3605. According to dealers, euro-dollar offers have been spotted ahead from $1.3625, believed to be fairly strong and stretch up to $1.3645/50, with minor stops mixed in around $1.3635. On the downside, a close back below the $1.3490 Nov 25 low is needed to confirm a break of the 21-day moving average ($1.3503) and see overall focus shift lower to a retest of the $1.3390-00 region.
