With most of the major pairs sitting exactly where we left them yesterday, we can probably expect another quiet Asian trading session. Most interest will be focussed on China’s CPI data but unless its significant different to expectations, I cannot see it having a big impact.
Normal rules for Friday’s are that positions that have been built up during the week get gradually reduced heading into the weekend, so all we must do is figure out what positions have been built up? Best guess is that the short-term market is short of EUR so we may get a short-squeeze before the day is done.
Good luck today and TGIF.
