EUR/USD falls back towards 1.10 again as European stock losses deepen

The noted rebound back above 1.11 in the EUR/USD seen earlier today has now given way to another interim relapse. The EUR/USD is falling back towards the 1.10 handle again. That fall comes as the USD/JPY edges back above the 146 handle and the European stock markets extend their opening losses. That 1.10 handle certainly capped any downside yesterday afternoon and we wait to see, if it will do the same again today. It is a pretty big level, if only due to psychological considerations and little more. That said, there could be some short term stops in place below 1.10 just now and it might be that someone is hellbent on hunting those out right now. We shall just have to see on that. What is also a possibility; further US players selling European stocks and repatriating the Euro from those sales back into the US currency. The EUR/USD is right now art 1.1018