The sharp short-covering rally in EUR/USD seems to have run out of steam as commodity currencies and related markets remain very heavily under pressure. Should the EUR/US rally resume, more stop-loss buy orders are spotted in the 1.3915/20 region, dealers report.
Heavy demand for EUR/US from the BIS and others was noted ahead of the 1.3825 level, leading some to speculate that a barrier options is struck at that level. Anything is possible….
