Looks like it is going to be one of those days when we extend ranges just enough to shake out the weakest hands before reverting to range trade. That’s what just happened in EUR/USD where we dipped to 1.4201 after “breaking” support at 1.4206.
In the bigger picture we’re in the heart of the range being defined by China’s 1.3975/1.4450 double-no-touch. No sense getting chopped up in the middle….EUR/USD trades now at 1.4220 with stocks opening up very modestly (+0.1-0.2%) in New York.
Philly Fed could set the pace at 14:00 GMT, at least for 10 minutes, or so.
