The dollar is once again finding bids in European morning trade, as it nudges higher on the session today. USD/JPY was an early mover, getting above 153.00 but other dollar pairs are now moving as the greenback continues to stay underpinned.
GBP/USD is down 0.4% to 1.3343 with USD/CHF up another 0.2% to 0.8030 on the day. But if anything else, do keep an eye out on EUR/USD as it starts to creep closer to the 1.1600 mark currently:
The pair is down only 0.2% for now with large option expiries at 1.1600 perhaps helping to toe the line. However, sellers are trying to make a move in contesting a break below the 100-day moving average (red line). This will be the first time since March that price action is threatening a break under either of its key daily moving averages.
And that is quite a notable development, as it would signify an end to the more bullish bias established over the last six months or so.
Besides that, the drop in GBP/USD is also looking to threaten the dual lows in September around 1.3323-33 and NZD/USD is also once again nudging back towards a test of the September low of 0.5754. The latter is down 0.4% to 0.5763 currently after surviving a daily close above the noted support level yesterday.
So, dollar pairs are definitely starting to be on the move even though things have been a fair bit quieter on the week.
This article was written by Justin Low at investinglive.com.