The pair opened at $1.3595 this morning after the post-FOMC gains that saw it top out at $1.3599 last night. Overall trade during today’s session has been muted with euro-dollar easing to a session low of $1.3584 in very early dealings but recovering soon after. Dealers said a stronger euro-yen tone also helped euro-dollar to rebound off the initial lows but gains were also limited to just $1.3597. The pair fell back toward the low in the late morning, still taking its cue from euro-yen and was last at $1.3593 ahead of the European open. Ahead, a close above the 21-day moving average at $1.3600 would confirm an easing of the bearish pressure and see the immediate focus shift to the$1.3664-77 region with the 200-day then coming in at $1.3667. Until the pair can successfully close above the 21-day, there’s still chances of it retesting the $1.3500-15 region with a break lower targeting the $1.3400-77 region.
