Opened in early Europe at $1.3118 Opened at $1.3130 in Asia having bounced strongly from NY lows of $1.2974 on talk that the ECB would swap its Greek bonds holdings for newly issued ones, prompted the start of renewed speculation that the Greek bailout deal would be signed on Monday. This morning’s Asian session has been quiet with the pair trading a modest $1.3122-46 range with most action seen in the crosses. Risk sentiment continued into Europe with EUR/USD trading on a buoyant tone. Early European demand lifted the pair to $1.3145 before running into German/Asian name sales and slipping to $1.3118. Demand then seen into the dip from semi officials and hedge funds boosted EUR/USD to $1.3135 as the recovery gained momentum. Stronger than expected UK Retail Sales saw sharp gains in cable which in tandem spiked the rate to $1.3169, before easing back on profit take sales to $1.3140 and trade flat ahead of the NY open. Strong offers noted on the topside at $1.3170, with stops on a break, ahead of technical resistance at $1.3190/95 capping moves, for now.
EasyForexNews Research Team