Closed in NY at $1.3456 after a recovery off NY session lows of $1.3431. Rate eased to $1.3444 in opening trade with rate contained for the early part of the Asian day within a basic $1.3445/55 range. Rate touched an overnight low at $1.3443 before euro-yen demand emerged to drive it higher, the rate pushing to a high of $1.3461 before momentum faded. The corrective pullback to $1.3446 ahead of the European open was seen meeting willing buyers into the dip. Cross plays continue to dominate direction, though within ranges. The rate currently seen supported from around $1.3430, with option linked demand noted beneath $1.3420 and corporate bids into $1.3400. Resistance remains into $1.3480, with stronger interest seen from the 2012 high at $1.3488 toward barrier interest at $1.3500. Stops noted above $1.3510/15. Germany GfK confidence data due at 0700GMT, and US consumer confidence at 1500GMT seen as the stand out interest on the day. FOMC meeting begins today, announcement Wednesday, with Friday’s US Employment Report providing the main interest.
EasyForexNews Research Team