EUR/USD is bouncing back from the lows as the European Union is reported to have laid a proposal for the debt struck country. There are talks about a 6 month extension. During this time, the ECB will undo its decision regarding not accepting Greek government bonds as collateral. This comes one day before the deadline for the ECB decision and the EUR meeting.
This is a change in the tough stance seen so far and the leak sends EUR/USD from the lows of 1.1275 to 1.1335 before it slides again.
Since SYRIZA won a landslide victory in Greece, there have been different tunes. At first we heard signs of compromise: a backing down from the rhetoric about not paying the debt from Greece, and some openness to abolish the troika from Juncker.
However, as the days passed by, there seemed to be an acrimonious atmosphere which was mostly evident in the meeting between the Greek and the German finance ministers.
But now, as the Eurogroup meeting gets close, the sides might be getting closer.
Here is how this move looks in the 30 minute chart. Note that it is somewhat limited due to the lack of details.
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