EUR/USD sits at 1.4275, effectively where it closed out Wednesday in North America, with Asian trade being confined to a narrow 30 pip range.
Well not for the first time, it would have paid to have followed China yesterday, the giant panda having been a buyer of EUR/USD around the low 1.42’s. They seem to be really micro-managing their 1.3950/1.4450 dnt interest at the present time.
So now it’s a case of where they’re likely to turn up as sellers. One would think around 1.4350, if not a little before. We’ll see what reports we get.
Fair amount of Euro zone data today, and ofcourse the latest ECB rate decision.
Data:
06:45 GMT: French ILO unemployment Q-2
07:45 GMT: Italian PMI services August expected 46.0
07:50 GMT: French PMI services August (final) expected 48.9
07:55 GMT: German PMI services August (final) expected 54.1
08:00 GMT: Euro zone PMI services August (final) expected 49.5, composite 50.0
09:00 GMT Euro zone retail sales July expected +0.1% m/m, -2.2% y/y
Then
11:45 GMT: ECB rate decision. Expected rates to be kept on hold at 1%.
12:30 GMT: Trichet will release revised economic forecasts during his press conference.
For today, technical suppports 1.4250/55, 1.4235, 1.4210, resistances 1.4280/85, 1.4310/20.
