The eagerly awaited announcement from the ECB looms large 20 July
In short I don't see any significant change to Draghi's tone today.
If, as I reported last week, he plans to attend Jackson Hole in August then we might expect him to keep cards close to his chest today.
Plenty of tapering talk lately both from him and other ECB members but the big question has been not if but when. Mind you, with the US Fed seemingly having second thoughts on the number of rate hikes needed and with EZ inflation data not exactly roaring away there is also a case to dismiss tapering talk as somewhat premature.
As always it's guess work so let's see if the ECB add any clues today in the statement and press conference. Remember to trade what you see, not what your crystal ball, says on occasions such as this and don't forget my old mantra that "Ours is not to reason why, ours is just to sell and buy" ( or the other way round if headlines dictate!).
It's you versus the algos and I know who I'm backing to press the buttons first, but as always we'll try and makes sense of the devil in the detail and give you a fighting chance of success.
Large EURGBP and large-ish EURUSD option contract expiries in play right through the ECB to 14.00 GMT
Euro order boards here, here, here and here
More previews here
I wish you all good trading and a few pips at the very least .
Are Draghi and Yellen really on the same mission?
