Forex trading headlines from the European morning session 13 May



A lively session that has seen the euro turn lower again on BUBA rate cut talk and weaker ZEW after starting the day on a firmer footing

EURUSD had an early run to 1.3770 from 1.3755 with EURGBP finding buyers to 0.8172 from 0.8154 and EURJPY up to 140.94 before weaker than expected ZEW data started the turn lower. Then talk in the WSJ of the BUBA calling for rate cuts gave it all a quick nudge with EURUSD dropping from 1.3750 to 1.3720 and EURGBP back to 0.8153 before another shove lower to 1.3700 and 0.8139 in the absence of any rally.

GBPUSD had got off to a softer start after yesterday’s failure to breach 1.6900 and the EURGBP buying and we saw a drift from 1.6880 to 1.6855 before then following EURUSD down to the strong 1.6825-35 area.

USDJPY had broken higher to 102.30 o/n but we’ve seen only a further move to 102.35 with selling pressure from yen pair selling.

USDCHF has enjoyed the ride higher on the back of EURUSD selling and we cleared out strong offers between 0.8885-0.8900 before falling back to 0.8890 from 0.8907 while EURCHF has drifted lower to 1.2198 after failing again to seriously challenge the 1.2225-30 resistance.

AUDUSD had a wobble to 0.9334 from 0.9350 on weaker Chinese data but then spent most of the morning at 0.9340 before rallying further to 0.9358 on some EURAUD selling while the kiwi had another morning in bed, as indeed did the loonie after retreating from the 1.0925-30 resistance o/n.

A decent session then with good opportunities. Bring on Part 2 !