Closed in NY Thursday at $1.3011, after rate had been pressured off intraday highs of $1.3094 on reported macro flow, with Goldman Sachs joining the call for a 25bp rate cut at next week’s ECB decision adding further weight, which pressed it to lows of $1.2988 ($1.2987 76.4% $1.2954-1.3094) before recovering back above $1.3000 into the close. Slow start to trade in Asia, euro-dollar making a brief show under $1.3000 at $1.2998 before recovering, the move up aided by firmer gold with another low China yuan fix prompting another round of react dollar sales which took rate on to $1.3048. Pullbacks were contained by demand at $1.3030, while further upside currently seen capped ahead of $1.3050. Offers seen placed to $1.3055 ($1.3054 61.8% $1.3094-1.2988), a break to open a move on toward $1.3070 ($1.3069 76.4%). More stops seen above this level, which if triggered to expose stronger resistance between $1.3090/00. Support seen into $1.3000, more at $1.2990/80 with a break to expose stops through $1.2980-70. Next bids seen at $1.2960/50. EZ M3 data due at 0800GMT, though US Q1 GDP at 1230GMT the main focus. Some dollar longs seen pared overnight ahead of this event.
EasyForexNews Research Team