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3 Sep 2015
EUR/USD slumps as Draghi speaks
FXStreet (Córdoba) - EUR/USD came under strong selling pressure and fell to fresh 2-week lows after ECB President Draghi conference began.
ECB President Draghi said at a press conference that the asset purchasing programme is going smoothly and reiterated the QE programme will run until September 2016 with €60 billion of purchases per month. ECB President also highlighted that the bank sees lower increase in inflation and downgraded 2015-17 forecasts, raising speculation that the ECB could increase the amount of bond purchases.
EUR/USD lost more than 100 pips during the first minutes of the speech and scored a low of 1.1124, its lowest level in 2 weeks. At time of writing, EUR/USD is trading at 1.1130, recording a 0.84% loss on the day.
EUR/USD levels to watch
As for technical levels, next supports could be found at 1.1106 (Aug 20 low) and 1.1017 (Aug 18 & 19 lows). On the other hand, resistances are seen at 1.1241/43 (100-hour SMA/daily high), 1.1285 (200-day SMA) and 1.1318 (Sep 2 high).
ECB President Draghi said at a press conference that the asset purchasing programme is going smoothly and reiterated the QE programme will run until September 2016 with €60 billion of purchases per month. ECB President also highlighted that the bank sees lower increase in inflation and downgraded 2015-17 forecasts, raising speculation that the ECB could increase the amount of bond purchases.
EUR/USD lost more than 100 pips during the first minutes of the speech and scored a low of 1.1124, its lowest level in 2 weeks. At time of writing, EUR/USD is trading at 1.1130, recording a 0.84% loss on the day.
EUR/USD levels to watch
As for technical levels, next supports could be found at 1.1106 (Aug 20 low) and 1.1017 (Aug 18 & 19 lows). On the other hand, resistances are seen at 1.1241/43 (100-hour SMA/daily high), 1.1285 (200-day SMA) and 1.1318 (Sep 2 high).