EUR/USD closed in NY Friday at $1.2678, having seen lows of $1.2624 following leaked reports of the later confirmed S&P downgrades, as well as concerns over Greek debt talks. Rate opened into Asia at $1.2647, with pressure on the EUR again emerging as strong sell pressure emerged on EUR/JPY. This latter rate pressed toward reported option barrier at Y97.00, but demand ahead cushioned the move at Y97.04. This move lower took EUR/USD to overnight lows of $1.2626, but again encountered decent demand in the area, one trader noting size able demand interest between $1.2625/00, with some linking this to protection of size able barrier interest at $1.2600. Rate recovered, filling any gap left by the NY/Asia close/open, with rate settling between $1.2630/55 ahead of the European open. Middle east buying into Europe slowly drove the rate up to extended recovery highs of $1.2682 but offers placed between $1.2680/00 countered prompting rate to ease back before meeting support into $1.2640. US holiday making for overall subdued markets.
EasyForexNews Research Team