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EUR/USD Inches to Multi-Month High on

EUR
  • Both EUR/USD and GBP/USD inching to the session's best levels through the European open - US 10y yields holding toward the bottom-end of the post-Christmas range helping contain the greenback and pushing EUR/USD to new recovery highs - touching 1.1049 for the first time since early August.
  • 1.1081 rests above as the next major resistance for the pair, marking the 76.4% retracement for the July - October downleg. Clearance here would be a bullish development and open levels last seen in July ahead of the cycle best at 1.1276 more medium-term.
  • Little on the docket today to excite markets, with just the US Richmond Fed Manufacturing Index. This could keep optionality at play, with the most sizeable strike in EUR/USD rolling off at tomorrow's cut, which sees E1.9bln roll off at 1.1000.

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