Touched a recovery high of $1.1357,.....>

EURO-DOLLAR: Touched a recovery high of $1.1357, as rate extended its correction

off earlier lows of $1.1276 on broad USD weakness in the NY session on the back

of cautious Fed rhetoric & a BBG report surrounding the yuan. As upside momentum

faded so rate drifted off to $1.1336 before it settled above $1.1340 into the

close. Rate initially picked up fresh demand in Asia which allowed it to edge

back to $1.1356 but it again met thin air before it backed off $1.1338 in late

Asia, early Europe providing a little more weight to take it down to $1.1334.

Rate currently seen resting on that low. Support seen into $1.1325/20 ahead of

$1.1300($1.2999 200-dma). Resistance remains on approach to $1.1360. Stronger

resistance noted between $1.1390/1.1400. Traders aware of E1.2bn option expiries

with strikes between  $1.1390-1.1405. Thursday expiries noted between $1.1400-05

for E2.4bn. 

- Focus today on US FOMC Minutes and yield spreads. ECB Praet set to speak at

0700GMT.