The pair started the Thursday session at $1.3599 from a NY range of $1.3597-$1.3639 and marked a narrow trading range of $1.3594 to $1.3605 in lacklustre Asia. Despite lower UST yield and softer dollar tone, the euro was stuck in tight range bound as the market await ECB meeting this evening. The euro was pressured down to session low on back of euro-yen sales by a momentum account but rebounds to sit at $1.3600, in the middle of the narrow range. The euro holding near the bottom of recent range of $1.3585-$1.3650, reserve managers demand noted at $1.3590 ahead of stops below $1.3570/80 while supply interest at $1.3640 with stops above $1.3655 noted ahead of the 200-dma at $1.3649. Chatter with traders that short positions in euro-dollar have increased ahead of ECB meeting and vols have climbed higher.
