• Sovereign bids starting around 1.3480 down through 1.3430 are the biggest story here.
  • Option protection ahead of 1.3400 will also support
  • Heavy stops rumoured below 1.3400
  • Hedge funds also likely to sell break in order to increase bearish momentum
  • Main selling in EUR/USD over last 2 weeks has come from Swiss names which suggests EUR/CHF selling
  • Likely to be trailing stops now above 1.3575 but dealers report lots of selling interest 1.3600/50