The pair closed in NY Monday at $1.3066 after rate had been able to recover off session lows of $1.3015. Early trade in Asia was contained within a range of $1.3055/70 before getting pressed lower on the back of euro-yen sales, prompted in turn by the release of softer that forecast China PMI data, traders highlighting the PMI new orders sub index moving below 50.0 as the relevant knock to risk. Euro-dollar initially met support at $1.3041, recovered to $1.3055 before turning lower again, this time extending lows to $1.3033. Buyers emerged again into the dip to allow rate to edge back toward $1.3050 ahead of the Europe open. A somewhat subdued trading session Monday with traders hoping that today’s releases of flash French, German and EZ PMI’s, followed by Germany Ifo, will spark some life into the market. Bid interest remains in place around $1.3030, with further interest noted at Monday’s low at $1.3015, with real money demand remaining in place between $1.3010/00. Resistance $1.3070/80.
EasyForexNews Research Team