It is hard to get a clear read on the markets this morning amid holiday conditions but the job will get easier as US markets return to full strength, more or less, today. From what we can gather thus far, it looks as though the market’s appetite for risk is perking up a bit now that the holidays are mostly behind us.
During the European morning, EUR/USD has broken a downtrend resistance from the recent top in the 1.3580s. Combined with the bounce from the 50% retracement of the 1.2457/1.3735 rally, the single currency looks bullish within the recent ranges of 1.3090/1.3350.
