The pair sank below a couple of barrier levels last night in the US before setting a new low for 2014, at $1.3313. It started in Asia this morning at $1.3320 but initially struggled to break out of an exceptionally tight $1.3315/20 range. Early market chatter was of talk of further barrier-defensive bids coming in around the $1.3300 mark, with stops then seen below the trend line support at the Nov7 low of $1.3295. Euro-dollar traded asession high of $1.3324 early this morning then slipped to $1.3316. The pair’s losses accelerated from around mid-morning as euro-yen sank and the dollar found a fresh bid tone. Euro-dollar dropped through the overnight low and hit a fresh low for 2014 so far of $1.3303 in the early afternoon with very little recovery seen since. The pair was last at $1.3307. Up top, euro offers are at $1.3330/40, some of these related to a $1.3350 expiry with further selling then noted in the $1.3380 to $1.3400 region.
