The pair started in Sydney this morning at $1.1320, and initially held a narrow $1.1314 to $1.1322 range, following a choppy overnight session which saw euro-dollar mark a $1.1273 to $1.1345 range, gyrating mostly on headline news over Greece. The pair witnessed a modest recovery this morning and was lifted to a $1.1330 high, aided by stronger euro-yen tone and as short positions were covered, dealers said. Greek debt financing worries remain the main feature although there’s been some optimism of a compromise deal. The move ran out of steam in the late morning as the pair ran into sell orders above the high and euro-dollar then retraced part of the move back toward $1.1320. It last traded at $1.1321. Initial resistance is at $1.1362 (200-hour moving-average), above there $1.1370 marks the 38.2% Fibonacci retracement on the $1.1532 to $1.1270 fall. Large sell orders are noted also around $1.1370, while on the downside, demand is seen coming in at $1.1285/80 and resting real money demand lies between $1.1250 to $1.1270.
