Current price – 1.08258
As we can see on the chart above Eu is in Accumulation/Distribution period , it’s going to touch the support line and start gaining position for a new uptrend, first point for eventually resistance is located at 1.10 approximately, if it breaks the line next point we are going to see it at 1.14 approximately.
An idea for setup buying is marked on the chart, keep in mind that the market’s are bouncing around like a water in a bath-tub, so keep your risk management principles tight.
FROM YESTERDAY MEETING AT EUROPEAN CENTRAL BANK
Draghi set the euro area up for expanded monetary stimulus for the third time in a year as China’s economic slowdown and market volatility threaten to derail the region’s recovery.
ECB policy makers will review their programs at the next policy session in March and there are “no limits” on how far they’re willing to deploy measures within their mandate, (Draghi said). An ECB quarterly survey published on Friday showed external analysts cut their inflation outlook for this year and next, backing the case for more stimulus.
Risk appetite is better today on the back of Draghi’s policy hint and given the better price of oil.While there might be some pullback in these currencies, I would expect investors to stay nervous.