EUR/USD down at 1.2910 from early 1.2960. Inbetween we’ve been up to 1.2986 and then all the way down to 1.2888 before steadying.

Intial rally fizzled out amid talk of ACB and option-related sell orders just ahead of the psychological 1.3000 level. We drifted back lower, before the move accelerated as trailing sell stops through 1.2950 were tripped.

We were in the process of steadying, when comments from Germany’s Finmin (see above) sent us fleetingly below 1.2900.

Talk of buy orders clustered down at 1.2875/85 ahead of 21 DMA helped lend some support and we rallied back above 1.2900. Late morning trade has slowed and we’ve been confined to relatively narrow range just North of 1.2900.