Closed in NY at $1.3145, having settled mid range after recovering off this session’s lows of $1.3085 and pushing up to $1.3187. Rate eased lower into Asia, touching a low of $1.31144, the move down seen as a ‘normal’ Friday risk off Asian move, but given an added knock on release of weaker than forecast China services PMI. Rate recovered through the balance of the session, though traders noted thin, pre NFP, conditions, the rate able to extend to $1.3152 before early Europe took it on to $1.3156. Rate currently trades around $1.3142. Apart from NFP focus, traders will remain on Greek debt watch, though focus seems to have shifted from PSI talks to OSI (Official Sector Involvement – ECB). Buy on dips seems to be the preferred course in pre US employment report trade. Resistance seen into $1.3160, a break to open a move on toward the $1.3187/97 area of recent highs, with offers remaining in place from $1.3200 through to $1.3220. Large stops above this area remain in place, a break to expose recent range highs at $1.3233/35 ahead of $1.3250. Support seen into $1.3115/00, ahead of $1.3085/80.
EasyForexNews Research Team