As suggested Tuesday rate met some......>

EURO-DOLLAR: As suggested Tuesday rate met some cushioning demand ahead of

$1.1400, initially bounced off $1.1412 to $1.1434 before it pressed lower again

in NY to an eventual low of $1.1401. Recovery from here proved shallower as it

touched $1.1417 before it sank back to $1.1401 into the close. Rate performed a

minor recovery to $1.1410 into the Tokyo open before it dropped through $1.1400

as rate reacted to the sharp sell off in AUD caused by dovish RBA Lowe comments.

Rate initially touched $1.1396, recovered to $1.1406 before fresh sales into

Europe pressed it down to $1.1392. Support is seen into the Jan28 low of

$1.1390(Uptrend from Jan24 at $1.1389), a break to expose $1.1376(61.8%

1.1290-1.1514) with tech traders Tuesday noting focus on the $1.1363 level.

Resistance $1.1410/20. 

- Wednesday brings the release of German factory orders data. EZ focus during

the remainder of this week centres on Thursday, which will see the release of

German industrial output, ECB's economic bulletin & the EU Commission's econ

forecasts, as well as remarks from ECB's Mersch. PM May's visit to Brussels on

the same day will also be closely watched.