EUR/USD is rebounding in the wake of very firm US durable goods orders. The reflation trade is surging on the outcome, s perverse detriment to the dollar. Once patterns are established, it is difficult for traders to change their habits, no matter how odd it may be to sell dollars on strong US economic data.
Look for offers in the 1.4060/80 window as traders caught long on this morning’s plunge in EEUR/USD look to lighten up those positions.
