US equities have recouped all their early losses after ISM ticked higher and pending home sales, more consequently, came in a good deal firmer than expected by rising 2.1%. Any signs of stability in the housing markets helps take pressure off the banking system as presumably there will be fewer foreclosures if home sales pick up.
Lessening risk aversion could put a floor under EUR/USD near-term unless the market begins to fret the ECB will act more aggressively tomorrow than the 50 bp cut in official rates that is widely anticipated.
1.3285/95 is resistance near-term in EUR/USD small stops lie just above 1.3300.
