Draghi lays the boom with new risks, weigh more stimulus
And down goes the Frazier...I mean the EURUSD (reference this link for those who don't recognize the famous boxing call). The pair in one fell swoop, tumbled below the 200 hour MA and the low for the week at the 1.0859 level.
The pairs decline did not stop until falling below the 1.0788 level and reaching a low price of 1.0778. The 1.0788 level was the low corrective price from the last ECB meeting on December 3rd. Be aware. I know the price has subsequently move below this level in early January, but the market is funny about remembering old lows (we remember that day don't we?).
On corrections, the 1.0832 will be eyed for traders looking to hop on the trend lower. This is the 38.2% of the move down today.
Other downside targets on a break would look toward the 1.0770 and then the low for the year at 1.0710. The 1.0770 was the low from Jan 7 and near the corrective high from Jan 6th (early in that session).
Trading is choppy at the lows.
