EUR/USD showed a great deal of resilience as equities rolled over this morning and it is showing a bit of upside in mid-afternoon trade as stocks recouped some lost ground. The S&P is now down 0.5% after falling 2% from session highs late this morning. A very bearish outlook for EUR/USD from hedge fund impresario John Taylor helped spark this morning’s pullback from fresh trend highs at 1.3107.
Important resistance is at 1.3125 (38.2% of 1.5145/1.1875). Stops lie at 1.3145/50 from funds and CTAs, traders report.
