Descripción
⋅ The EUR had already traded back below the 1.1915 pivot well before the latest set of FOMC minutes saw a further flurry of dollar buying.
The result is a clear failure of the topside break and some licking of wounds this morning.
We have certainly not abandoned the medium term bullish view but, this being August, we can’t rule out a further correction either.
We are back to the our core longs as a result. Immediate support is right on hand at 1.1820/30; hold here and we’ll feel more comfortable.
Flow wise, we are still light on volumes despite the widening ranges.