The euro/dollar hasn't technically broken out, but it seems to have broken the recent pattern,

Dollar buyers ran out of gas once we couldn't break through $1.2750 and 106 in dollar/yen and as a consequence we started technically trading off those levels.

Dollar buyers ran out of gas once we couldn't break through $1.2750 and 106 in dollar/yen and as a consequence we started technically trading off those levels,

The data wasn't necessarily bad. It just assisted the bit of dollar selling that's been going on that originated last night.

The numbers were obviously better than expected. It's possible we could see a little further dollar buying.

The dollar has depreciated sharply against the euro and more modestly against the yen with dollar sentiment deteriorating as fears increase over the outlook for the US economy.