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3 Apr 2014
EUR/USD quite volatile on Draghi
FXStreet (Edinburgh) - The single currency is now exhibiting great volatility while President Draghi is holding his press conference, with the EUR/USD in a 1.3740-1.3810 range.
EUR/USD firmer on Draghi’s presser
ECB’s Draghi said the euro bloc is recovering in line with the Council’s views, and that the central bank expects a period of low inflation although consumer prices should gradually pick up. In the same line, Draghi confirmed that inflation expectations remain firmly anchored and that inflation risks are broadly balanced. He however stressed that the Council unanimously decided to use unconventional tools should the situation so requires it (QE not off the table). Regarding the exchange rate, President Draghi repeated it is not a ECB policy target, nonetheless it remains key in price stability.
EUR/USD relevant levels
The pair is now gaining 0.01% at 1.3770 and a break above 1.3820 (high Apr.2) would open the door to 1.3827 (high ar.26) and finally 1.3828 (21-d MA). On the downside, the initial support lines up at 1.3755 (low Apr.2) followed by 1.3721 (low Mar.31) and then 1.3719 (55-d MA).
EUR/USD firmer on Draghi’s presser
ECB’s Draghi said the euro bloc is recovering in line with the Council’s views, and that the central bank expects a period of low inflation although consumer prices should gradually pick up. In the same line, Draghi confirmed that inflation expectations remain firmly anchored and that inflation risks are broadly balanced. He however stressed that the Council unanimously decided to use unconventional tools should the situation so requires it (QE not off the table). Regarding the exchange rate, President Draghi repeated it is not a ECB policy target, nonetheless it remains key in price stability.
EUR/USD relevant levels
The pair is now gaining 0.01% at 1.3770 and a break above 1.3820 (high Apr.2) would open the door to 1.3827 (high ar.26) and finally 1.3828 (21-d MA). On the downside, the initial support lines up at 1.3755 (low Apr.2) followed by 1.3721 (low Mar.31) and then 1.3719 (55-d MA).