The EUR is quite well bid across the board in Asia today despite many traders being worried about the Eurozone PMI data which is due for release in early European trade.

My feeling is that the market, especially the short term one, is short EUR at the wrong levels and that even a poor number will be greeted with bids on dips. EUR/JPY may even see the biggest reaction if the shorts get squeezed and trailling stops now above 163.00 get triggered.

Note: this piece was posted by Sean overnight, but due to unfamiliarity with the new platform, it ended up in an approval queue. Better late than never!