Overall, the market had a sudden swing after the London open. The major currencies advanced against the dollar in the early part of the European session continuing the Asian session movements, but these moves have been reversed. Until now, the majors have been unable to break significantly in either direction, staying within the previous day’s range of trade. Ahead, the U.S. session has a loaded economic schedule, which will certainly affect the currency market.

The Euro (Eur/Usd) advanced 70 pips in the early part of the European session, and tried to break above the high reached during yesterday’s U.S. session. However, the pair failed to complete the move, and moved lower, in-line with the rest or the majors. If the euro breaks below the low of the last day of trading, it will reach the lowest value touched since November.

The Pound (Gbp/Usd) tumbled almost 150 pips in the European session. The selling frenzy started shortly after the London open, even though in the minutes before, the pair rose 60 pips near the 20-day moving average. Up to now, the pound traded in the same range as it did one day earlier.

The BoE’s minutes from the meeting held at the beginning of February shows that the committee had, for a second consecutive meeting, a split vote. Eight members voted for a 50-basis rate cut, while one, Mr. Blanchflower, proposed a 100-basis point rate cut, as was the case at the January meeting.

The Aussie (Aud/Usd) retraced some parts of the moves made yesterday, when the aussie was sold. The pair advanced 50 pips during the Asian trading hours, and traded mostly flat in the European session. The pair trades just above the 0.6350 support level, which might prove a strong intra-day swing point.

Australian retail turnover in the fourth quarter, adjusted for inflation, rose 0.8 percent in the third quarter. This is slightly lower than the 1.0 percent that analysts had been expecting. The Australian MI leading index came in at a -0.4 percent month over month after a -1.0 percent decline was seen on the previous figures reading. The fall in the leading index has shown that the economy has gained some footing during December.

The Cad (Usd/Cad) traded on weak momentum in the Asian session. The cad extended the range seen yesterday, in the U.S. session, unable to produce any significant moves. The daily chart shows that, the cad reached the highest value in the last three weeks, yesterday.

The Swissy (Usd/Chf) tried, in the Asian session, to break below the low reached on Tuesday, but failed to do so. During the European session, the pair broke above the neutral pivot point, which, until then, had been a resistance line, and gained around 30 pips.

The Yen (Usd/Yen) tested, in the early European session, the 92.60 area, but did not manage to break higher. The pair also topped yesterday at the same area, even though it tested it twice during intra-day. Tonight, the Bank of Japan is expected to announce its latest monetary policy decisions.