Trying not to rock the boat
The Draghi press conference will begin at 8:30 AM ET, with the expectations that he will do his best to not rock the boat. With interest rates down, the EUR down, and stocks up, there are positives for the EU economy (it is now or never). However, he is likely to temper any enthusiasm.
Looking at the hourly chart, the 100 hour moving average has been broken in trading today (blue line in the chart above). This level comes in at the 1.0616 price currently. Stay below in the bears remain in control. Move above, then there should be further upside potential. On the downside, the next targets become the recent swing lows. They include:
- 1.0550 - low from March 17.
- 1.0520 low from 13 April
- 1.0497 – 1.0500: low from March 16 and natural number support (165 pip range)
- 1.0461 - Low from March 13.and low for the year.
