Closed in NY Friday at $1.2945 after recovering off a session low of $1.2890, the rate bouncing to $1.2956 before easing to $1.2923 ahead of the close. Early Swiss demand into Asian trade Monday was cited for taking the rate to an early high of $1.2972 after stops above $1.2960 were triggered. Reports of decent offers placed from above $1.2980 acted to prevent further advance with rate then drifting back to $1.2925 where it met initial support before squeezing down to $1.2915. Rate retains a heavy tone into early European trade. Asian traders report demand interest seen in place between $1,.2910/00, with stops placed on a break below. Larger CTA stops reported on a break of $1.2880. Resistance remains in place toward $1.2980. Hurricane Sandy due to hit the North Eastern seaboard of the US has closed floor trading on the NYSE with varied reports if electronic trading will open (Dow has been a major lead indicator for FX in recent sessions). German state inflation data due for release this morning ahead of national data this afternoon. US action this afternoon expected to be muted by the storm.
EasyForexNews Research Team