There was Sovereign interest to buy EUR/USD below 1.3100 earlier today in Asia and whilst the amounts probably weren’t overly large, it was enough to drive a very illiquid market quickly higher. The late mail out of NY on Friday was that the next batch of heavy offers were situated close to 1.3200.
Some of the Asian central banks have also been unusually active in USD/JPY over the last few days and I’m sure that the BoJ aren’t too happy to see them selling down at these levels. Just to repeat, there are reportedly some large stops positioned below 82.30.
Elsewhere, the teflon AUD/USD has bounced straight back after the earlier losses brought about by the Chinese rate hike. It looks to be too early to try shorting this pair.