Euro tone Positive after report

EURO as of Feb 13 Asia Session

The opening price levels for the week is a reflection of the Greek's parliamentary agreement meeting its approval that prompted the higher Euro and consequently a lower opening price for the USDx. This choppy market reaction likewise is a clear reaction of the Tug of War both fundamentally & technically supporting wider price swings amongst the majors and crosses.

The active pullbacks across the board last Friday's closing were expected as the market sentiments and price action would continue its near term trend for the week. Liquidation and some short-covering actions were present during the week ending of the 10th of February that may prove to continue towards this week's trading activity.

Setting the pace for the USDx to continue to move lower in the interim with daily corrections within the price range no higher than the 79.60-80.50. And this can also be viewed on the weekly chart formation.

Meanwhile, the EURUSD, GBPUSD & the EURGBP cross maintains a positive tone after the Friday's move after the reports that would somehow spill over during the European opening sessions towards the US trading sessions.  However, the commonality amongst these three majors pairs is that they have maintained their respective prices above their 21day moving averages. Although, momentum have lost ground, expect volatility to improve once volumes builds-up. Whenever market participants are quiet, expect that this market behavior may get spooked as such sensitivity of the unexpected would occur before the consumer confidence numbers and retail sales reports.
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