Forex trading headlines from the European morning session 17 February

After triggering stops to 1.6823 in Asia we’ve seen a pull back in GBPUSD this morning as traders get somewhat nervous that the recent rally could be a little stretched.

We hung around 1.6775-95 for a while but then started to drift lower with EURGBP buyers quick to lend a hand. After tripping back through 1.6760 we chewed through stong bids at 1.6740 triggering stops to 1.6720 before bouncing back to 1.6746. It’s looked offered overrall though and drifted back to 1.6726 as I type.

EURGBP needed little excuse to plough back up through 0.8180 but has so far capped at 0.8195 ahead of decent offers between 0.8200-10.

EURUSD has yet to make any serious attempt back above 1.3720 where good sellers still lurk and we’ve spent most of the session pinned between 1.3700-10.

USDJPY got a little lift from 101.58 to 101.85 then up to 101.98 but offers at 102.00-10 have capped the move so far.

AUD, NZD and CAD have mostly had the morning off in empathy for US President’s Day and we’ve seen little movement of note.

So, all eyes on the pound still as we head into thinner liquidity with many traders taking advantage of the US holiday and heading out. A recipe for potential chaos and mayhem or good opportunity for a snooze.

What’s your money on?