Pressed to an extended low of $1.0655...>

EURO-DOLLAR: Pressed to an extended low of $1.0655 Thursday with Asia taking it

to $1.0653 in early Tokyo before reversal, said to have been driven by profit

taking and position adjustments ahead of the weekend. Asian traders did report

that the rate ran into strong demand on approach to $1.0650 ahead of the bounce,

some suggesting interest could be linked to option structures. Recovery met

initial resistance at $1.0750 before it pushed on to $1.0780 into the European

open. Sellers have emerged but only easing back to the $1.0750 area. DXY saw a

3-yr high of 102.986 in early Asia, slipping back to 101.614 into Europe. Expect

support ahead of 101.50. 

- ECB current account at 0900GMT but COVID-19 spread and Central Bank actions to

counter the economic effects continue to take centre stage for market direction.

- MNI Techs: EURUSD firmer today but remains bearish following this week's

sell-off. The pair cleared the former 2020 low of $1.0778. With bearish

conditions dominating, the focus is on $1.0637 and more importantly

$1.0570(Apr07 2019 low). Further out, the multi-year low of $1.0341 is also on

the radar. $1.1048 is a firm resistance.