Opened in early Europe at $1.3170. Recovered from lows of $1.3080 in NY after EU’s Juncker cancellation of today’s scheduled EU meeting, in favor of a conference call. Comments from German Fin Min Schaueble also failed to inspire confidence when he said that Europe was better prepared for a Greek default. Euro opened in Asia at $1.3125 and after a brief dip to $1.3110, was pulled higher by comments from China PBOC’s Zhou who reiterated support for the EU and crisis. Euro broke higher through stops at $1.3140/45 and $1.3160/65 to highs of $1.3172. EUR/USD extended gains into Europe lifting to the intraday high $1.3190 on early offshore demand, before running into macro/model account sales and easing back to $1.3160. The pair attempted to bounce but semi-official supply counteracted the move pressing the rate to $1.3154. Rate traded flat before bouncing to $1.3180 and settle in a tight range, slipping late to $1.3150 ahead of the NY open. Dealers note of large offers at $1.3200, with stops on a break, seen as key for the next leg higher.
EasyForexNews Research Team