As the stop loss hunting exercise continues, with phase one at 1.3085 completed successfully, Euro bulls just stepped in to inflect yet another fresh round of heavy buying vs the USD, sending the EUR/USD to a new 1-month high at 1.3123, level that coincides with Sept 18 high. Option barriers at 1.31 are history. So far, the one-way street, abrupt upward moves are characteristic of a market driven by 'stop loss hunting' as illiquid conditions persist ahead of Tokyo, HK opens. Buying accelerated since the Moody's affirmation of Spain rating and as a result, firming risk seeking conditions. At this juncture, seems fair ... (full story)