The pair continued to find support on dips ahead of the $1.2500 level last night before sellers capped the euro at $1.2599 immediately following the FOMC meeting minutes release. It opened at $1.2541 in the Asia-Pacific this morning and then traded lower as the US dollar traded up to fresh 7-year highs vs the yen, hitting a low of $1.2535. Euro-dollar then saw a marginal recovery off the lows, to around $1.2540 and then was carried up to a $1.2557 high after regional stocks started their respective sessions. The pair failed to hold its gains as dollar strength continued, and euro-dollar then retreated to a fresh session low of $1.2530 in the early afternoon. It was last at $1.2549. Further down, demand is noted in the $1.2505/00 region, part of that related to a $1.2500 option expiry with further demand then seen toward $1.2450. Stops arealso above $1.2600 with a close above to shift focus to layers of resistance in the $1.2685-1.2995 region.
