As suspected late yesterday, EUR/USD has reverted back to the middle of its range, essentially reaching the midway point between 1.48 and 1.5150 earlier in the day. Where-to now is a flip of the coin, really. The prevailing trend is for a stronger EUR, we can all agree, but the market is quite long of EUR/USD, if a bit less long today than yesterday. CPI and housing starts are quite unlikely to be the catalyst for a big move, I’d venture.
1.4975 is resistance now with more up at 1.5015 ahead of the key 1.5150/60 region. Bids are seen at 1.4945 and 1.4930 near-term.
