Closed in NY Wednesday at $1.3125 off earlier highs of $1.3139. Tight range trade continued with talk of Asian sovereign and real-money sales capping on the topside. Euro-dollar had a slow grind throughout Asia and slipped on cross sales ahead of the Tokyo fix to $1.3105, rate extended losses on hot money supply and flushed light stops through $1.3100 to print lows of $1.3088. Dip demand briefly recovered with many traders squaring positions ahead of the EU leaders summit. On the downside stops noted on a break of $1.3080, ahead of bids through $1.3070/65, stronger at $1.3050. Resistance seen from the Asian high at $1.3120, a break opens techs at $1.3145 (76.4% of this year’s move $1.3486-1.2042), ahead of strong offers into $1.3150 with stops set. Light data release in the US today with highlight being Initial Jobless Claims released at 1230GMT.
EasyForexNews Research Team