European Session: Orders and Options Watch
EUR: Despite rising to 1.3225 last Friday in part due to the release of better-than-expected German data, the single currency opened lower today on French presidential election results (moved to final vote on May 6), however, some bids are still noted at 1.3160-70 and also 1.3130 with stops building up below 1.3100-10 and further out at 1.3050-55. On the upside, mixture of offers and stops is located at 1.3220-30 but fresh offers are likely to emerge around 1.3250 and also at 1.3270-80.
GBP: The British pound extended last week's rally to a 5-month high of 1.6144, however, cable has retreated today on profit-taking probably before the release of UK GDP later this week. At the moment, sell orders from funds and UK clearer are located at 1.6140-50 and also at 1.6180 with bigger offers tipped further out at 1.6220 and 1.6250. On the downside, bids from European names are lined up at 1.6075-80 and also at 1.6050 with some stops placed below 1.6035-40 and mixture of bids and stops is seen at 1.6000-10.
CHF: Although the greenback extended recent fall to 0.9085 last Friday, the pair has rebounded this morning also on short-covering and offers at 0.9115-20 were filled, some stops are tipped at 0.9130 with more selling interests from French names are likely to emerge around 0.9160-65 with more stops placed above there as well as 0.9200-10 (sizeable). On the downside, bids from European names are still noted at 0.9080-95 and also further out at 0.9050-55 with some stops building up below both levels.
JPY: Dollar has dropped quite sharply on yen's broad-based rebound, stops below 81.15-20 are now in focus, however, bids are still seen at 81.00 and also at 80.80 with bigger stops below 80.70 and 80.50 but option defensive bids remain at 80.25-30. On the upside, offers from Japanese corporate are lined up at 81.50-60 and also at 81.75-80 with more selling interests from option players expected ahead of 82.00 barrier.