Opened early Europe at $1.2115, EUR/USD closed in NY Friday at $1.2160, off lows of $1.2244 as the euro was squeezed lower on the back of euro negative news. Rate was marked lower into Asian trade Monday, tripping stops through $1.2140 to $1.2115, as weekend press continued Friday’s euro negative theme, with concerns about Greece coming back to the fore as well as ongoing problems in Spain. Rate was sold to a low of $1.2103 in opening Asian trade, as early traders attempted to take out barriers at $1.2100 in thin conditions. However, strong demand ahead cushioned the move, with further buying into the Tokyo open lifted it to$1.2134 where it met decent supply. EUR/JPY sales took rate back under $1.2120, trading to $1.2106 before settling around $1.2110 into the European open. Early sales into Europe dropped rate to $1.2085, taking out the barrier at $1.2100, with recovery attempts faltering around $1.2100/05. Second wave sales extended lows to $1.2082. Failure to trip next barrier at $1.2075 prompted short covering but offers into $1.2120 capped.
EasyForexNews Research Team