Opened in Asia with a gap up at $1.0765 from the NY close of $1.710 following positive press regarding the EU Fin Min meeting today which is expected to approve the 2nd Greek bailout package. The Saturday RRR rate cut of 50bps from China also boosted risk appetite and stocks leading AUD/USD sharply higher from the opening and triggering some strong cross buying demand. The pair hit stops through $1.0800 to highs of $1.0817 before an asian macro seller turned the tide and led a fall back to $1.0767. Offers are stacked up now above $1.0820 to $1.0845 with stops above $1.0850. Aussie-yen gapped up at Y85.84 on the open from Y85.17 in NY, and stormed up to Y86.35 on macro demand, before succumbing to profit taking and AUD/USD sales, slipping back to Y85.62. EUR/AUD gapped lower on the open at A$1.2234 from A$1.2264 but built steadily higher on the session and closed the gap with a high of A$1.2267. Aussie-kiwi slipped from early highs of NZ$1.2861 to NZ$1.2808.
EasyForexNews Research Team