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15 Apr 2015
ECB / EUR: Insights and subsequent price action outcomes - TDS
FXStreet (Guatemala) - Analysts at TD Securities explained that there will be a 100% chance that all rates will; be left changed at the ECB meeting and offer other insights in to the opening statement and subsequent predictions of the effects on EUR/USD.
Key Quotes:
"80%: Opening Statement - There will be little to change here, as the Governing Council likely touts the significant impact their policy has had on markets, the improving lending environment, and that they are on track for their macro forecasts, though risks to growth remain to the downside. EURUSD likely capped by 1.0715 (minor short-term fibo and double top neckline trigger)."
"5%: ECB upgrades growth risks to "almost balanced" which leaves the market concerned of a premature end of the APP. EURUSD breaks above 1.0715 (last week’s lows) and moves to around 1.08, but is doubtful to make a move all the way to next strong resistance at 1.0910 (40dma)."
"15%: ECB language downplays most improvements as far too early to suggest anything.
EURUSD can drift lower but likely is unable to break the 13 April low of 1.0521."
Key Quotes:
"80%: Opening Statement - There will be little to change here, as the Governing Council likely touts the significant impact their policy has had on markets, the improving lending environment, and that they are on track for their macro forecasts, though risks to growth remain to the downside. EURUSD likely capped by 1.0715 (minor short-term fibo and double top neckline trigger)."
"5%: ECB upgrades growth risks to "almost balanced" which leaves the market concerned of a premature end of the APP. EURUSD breaks above 1.0715 (last week’s lows) and moves to around 1.08, but is doubtful to make a move all the way to next strong resistance at 1.0910 (40dma)."
"15%: ECB language downplays most improvements as far too early to suggest anything.
EURUSD can drift lower but likely is unable to break the 13 April low of 1.0521."