Any time you have something falling 500 pips in 24 hours, there’s the risk of profit taking. But when it happens on a Friday, the risk is doubled.

If you see anyone drinking champagne this afternoon, they were probably short euro and they deserve their fun whether they sold yesterday at 1.1600, in Nov at 1.25 or in July at 1.35.

The ultimate trading signal is when something can’t go down on bad news. Coeure talked about more QE and after a 20-pip dip to the downside, it’s stormed back 40 pips higher. If anything, that argues for more gains before the close from here but it could get mixed up between when London heads to the pub and the New York close.

euro and coeure

EUR/USD, intraday