EURUSD still around 1.2635 EURGBP testing 0.7830 offers/res again from 0.7825 EURJPY 137.40
ECB leaving rates on hold was the expected outcome but now we have to see what Draghi has up his sleeve for the press conference at 12.30 GMT
Recent data has been weak and the first TLTRO take-up even weaker so what other tricks does he have to try and prevent the Eurozone from dropping deeper into the abyss ?
Expect to hear more about the ABS purchases and maybe even a shout that he is pleased with/note the euro’s fall and a suggestion that it’s nearing its aims and is now more balanced as the French contingent of Hollande and Moscovici were notable for saying earlier. A long shot I know given his recent rhetoric that the euro decline is merely a result of divergent monetary policies.
As usual it’s a guessing game so trade what you see and expect rapid price action – both ways
And hey,
