The reasons we gave yesterday for being cautiously short-term bullish on the EUR/USD still apply and the strong Spanish and Italian bond auctions can be added into the mix. From a technical perspective, the bullish case would be significantly enhanced by a daily close above 1.2860, and we haven’t managed that yet. I think bottom-picking bulls will be encouraged but they should remain cautious.
Not much of note on the economic calendar as far as the majors are concerned, but emerging markets will be watching for Korean and Singaporean events.
Good luck today and TGIF
