EUR/USD briefly broke below its 200-day MA at 1.4280 but failed to close significantly below it. The 200-day is a major indicator for macro players who will not be rushed into closing out their positions. The heavy stop-losses are said to be sitting just below 1.4200. Trend and sentiment remains bearish.
EUR/GBP challenged the .8700/20 support window but has bounced. Those already short from good levels should consider booking partial profits. Heavy stops are expected below .8700 but I’m still hearing of strong buying interest close to current levels.
The .9170 level held again in the AUD/USD and as Jamie mentioned earlier, we are definitely in a short term range trading pattern. The commodity story remains strong and the AUD should stay strong aginst the EUR and the JPY at least.
There was definitely something big going on in USD/JPY at 90.30. Dealers tried their utmost but couldn’t get at stops below 90.30 and were then forced to run for cover. This is one pair best left alone in my humble opinion.
Good luck today.