EUR Trading Outlook (18-02-2015)

EUR/USD opened NYC 1.1440 on the retreat from O/N highs by 1.1450. The rally was sparked by comments from the Greek FinMin suggesting Greece would agree to a draft plan by EU’s Moscovici that would be an extension of the loan agreement, but not an extension of the current program. New York traded an edgy 1.1442/ 1.1381/ 1.1425 chop with rhetoric sparring, 20-30 pip gyrations on single headline prints. Underneath it all there was a EUR/USD steady bid, partially due to the O/N ZEW data but more related to an underlying belief that a deal would be struck, the latest tick up on “sources” in Brussels that aver Greece will request a six month loan extension tomorrow (not the bailout, just the loan see [ID:nL5N0VR4GO] ) ZEW