When Mr.Draghi speaks, short euro is sure thing!
As I wrote on my previous article, when Mr.Draghi have a speach, market could move strongly, that’s exactly what was happen today during the press conference. After the ECB’s decision to put rates on hold, euro was bullish and at the begining of the press conference euro was catch 1.1114 resistance, the previous support from yesterday and from January 23./26. After Mr.Draghi start to talk, euro fall for 100 pips rapidly and stop at 1.1005. At that moment the journalists started with questions and euro try to recover after Mr.Draghi speak positively about ECB and Greece, about Euro zone inflation and Cyprus. Euro manage to cover 38.2% of the loss and catch 1.1050, after wich selling push the pair back and brake 1.1100. For now, EUR/USD find a new low at 1.0986 and I can’t see support at this level other then the previous one from today, the ‘Draghi speach one’!? Could 1.1100 defend this attack at the end?