I’m afraid that we can expect a fairly quiet session in Asia today after a snore-fest in the NY afternoon. If anything happens, then it is likely to be led by EUR/JPY. Stockmarkets will probably undo some of yesterday’s losses and this may give the cross an incentive to test important resistance levels towards 128.00; a break above there and more short covering will ensue. USD/JPY bids and EUR/USD bids (admittedly well below current levels) will give the bulls some degree of comfort.
Good luck today.
