EUR/USD came under some early selling pressure, with hedge funds notable sellers of both EUR/USD and EUR/JPY. Tripped stops through 1.4490 and 1.4480 on the way to session low 1.4477.
We’ve subsequently bounced back to 1.4500 as European stocks get off to a healthy start, extending gains in early trade.
A big part of my confusion is I’m now getting reports of “large” month end dollar demand, which flies in the face of what I mentioned in my opening comment. Best to ignore what I said in that opening comment until I can clear things up.
Talk of sell stops through 111.00 in EUR/JPY. We sit presently at 111.20.
