The pair traded in a $1.2637 to $1.2740 range during the Wednesday session before it started today at $1.2649. It held a narrow range of between $1.2640 and $1.2650 early in the session but then slipped back further as euro-yen deflated soon after Japanese stock markets opened lower. Euro-dollar’s losses extended to $1.2637 and briefly recovered after the release of the HSBC China flash PMI. Losses resumed later in the morning, with euro-dollar this time retreating to a session low of $1.2633. Despite euro-yen’s recovery, euro-dollar has continued to languish near the morning’s low through the rest of the session and was last at $1.2637. Looking ahead to the European day, it is likely to be a volatile morning session for the euro today with the Services and Manufacturing PMIs out of Europe scheduled for release. Stops are noted above $1.2680 and $1.2750 and on the downside below $1.2620 and $1.2580.
