USD shorts are scrambling for cover suddenly as the 1.4700 level gives way in EUR/USD. Stops below that level have been tripped and prices have slipped to 1.4680 thus far. Chinese interest above 1.47 was filled in with surprising ease, traders say.
Expect more central bank interest to be scattered down to the 1.4650 level. Look for stops from more medium-term players below that level.
Pre-weekend short-covering versus the dollar has been sparked by an unexpected rise in US rates. Some will be out for Columbus Day on Monday. compounding the issue.
