Mike Paterson’s Daily Forex Brief
Markets have been unimpressed/unmoved by the action taken by EU leaders at their latest summit despite attempts to tighten up the banking union measures deemed to be a positive for the Eurozone and its fight to get out of trouble.
In fairness no-one really expected much else this time around but the obvious emphasis on setting up discussion for yet another summit in early December has understandably given traders little to get excited about.
EURUSD has fallen further to test the pivotal 1.3000 level reaching lows of 1.3016 before finding a little support from the usual ACB suspects and now sits back up at 1.3050. Plenty of traders will have got caught both sides of this move up to 1.3125 last week and then back down again.
EURGBP has been up to test 0.8150 (GBPEUR down to 1.2268) and despite a move back down to 0.8122 in early European trading it’s found some decent support and we’re back to 0.8140.
GBPUSD has been down to test 1.6000 and hit lows of 1.5990 again but similarly has found a few bargain hunters and has made its way back to 1.6045 with the Pound generally unchanged despite this initial move lower.
No data of note out today so we can expect the usual Monday malaise.
And malaise sums up the Shrimpers’ performance on Saturday who went down 1-0 to a late goal but now have two home matches to put things right.
Should be a nice life ahead though for super horse Frankel who retired unbeaten on Saturday having won his 14th consecutive race and will now stand at stud for at least £100,000 a time….. There’s a queue already lining up around the block so happy retirement Frankel. You’ve earned it!
Have a good week everyone.
Interbank Rates at 08:44 BST
Today’s Data: BST
Nothing of note
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Mike ‘Oscar’ Paterson has been in the Forex trenches for nearly three decades working as a senior Spot trader in London at UBS, Chief Dealer FX at the State Bank of Victoria and in charge of Spot CHF at Credit Suisse with a daily turnover in excess of $1.5 billion. Mike now works as an independent consultant providing a fully bespoke service to the corporate and private sectors in physical FX delivery as well as guiding those who wish to improve their currency trading. Mike also presents seminars and workshops and writes for a number of publications.
To contact Mike please call +0044 (0) 1732 700383 or email email@example.com
The views expressed above are those of the author and should not be taken as investment advice. MSP Foreign Exchange Services will have no liability for, or to, any persons executing trades based on the content above.