The pair has climbed sharply following the risk on sentiment sweeping through the market today. An absence of economic data during the European session has left an already thin market susceptible to moves led by rumours and speculation. Price looks to have made support at 1.05 and is currently trading at 1.0504.
Bijoy Kar of MIG Bank notes that despite the break higher above resistance at 1.0497 he still views a long term move lower as “The proximity of the down trendline favours a significant phase of weakness.”
With the European economic calendar finished for the day the only data of significance during the US session is Canadian CPI data at 12:30 GMT.
European equities remain elevated alongside the majority of commodities whilst critical European yields remain stable.