Amongst the vanilla options on the board there's barriers in play too
1.0550 is noted as strong support both on the order boards and with the 1.5bn in options there too
There's a hefty sized barrier at play at the level also and an even stronger one at 1.0500
I noted that we'd been seen lower liquidity of late while the market trod water ahead of the central banks. The ECB story may be the driver of this move but it's come pretty swiftly and without much reply, which highlights conditions in the market right now
That factor is likely to increase with the US thanksgiving holiday tomorrow and traders will be reducing positions and liquidity will drop further late in the US session, and these conditions will remain probably through to COB Friday, as many take an extended break. We're also approaching month end so that's something else to throw into the mix
These are not markets you really want to chase right now. If you're not in a position then it will be best to wait until you hit a level worth considering. If you fancy buying euro's then wait for close to 1.0550, if you want to sell then look at 1.0590/600 to be the first resistance point now. In either direction a tight stop would be advisable
