The forex trading headlines for the European morning session

A lively session with plenty to both please and frustrate after metals led the way with decent gains, most notably gold to USD1393.

Yen continued to weaken, although not without the occasional rally, and we’ve seen USDJPY touch 98.00 and EURJPY 128.42, just shy of good selling interest reported to be at 128.50.

This in turn has kept the euro well supported overall despite weaker than expected German ZEW data. EURUSD had been sold to 1.3050 just prior to the release on talk of disappointing figures and so it proved but despite an initial dip to 1.3029 we’ve seen a solid rally since to 1.3122, the final jump above 1.3100 coming with the latest EURJPY buying. Technical resistance now between 1.3120-50.

EURGBP has moved through resistance between 0.8550-60 to post highs of 0.8574 with the Pound underperfoming again after slightly weaker than expected inflation data. GBPUSD found good support again the dips at 1.5275 but has failed to make much of an impression to the upside capping at 1.5319.

AUD and NZD have made a solid recovery from Asian lows as metals turn higher and the yen weaker. AUDJPY highs of 101.65 so far but tempered by sell interest in AUDUSD between 1.0380-00.

So we now await the afternoon session with US data to the fore, but with more than one eye on the precious stuff.