No matter. EUR/USD sits at 1.2998, basically where it closed out Tuesday in North America. Asian trading has seen price action confined to a conservative 1.2968-1.3007 range.
Selling by likes of China, BIS and Swiss National Bank above 1.3000 has so far helped cap the euro’s recent rally. The market will be very alert to renewed selling from these entities.
I reported buy orders down at 1.2950/70 this time yesterday, and they’ve just about held the downside. Stops just below there and larger seen through 1.2915. On topside sell orders layered from 1.3020 up to 1.3050, with stops seen through 1.3060.
Not much in the way of euro zone data today:
German CPI for July expected +0.3% m/m, +1.2% y/y
08:00 GMT: ECB publishes bank lending survey
