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13 Mar 2014
EUR/USD drops to 1.3850
FXStreet (Edinburgh) - The EUR/USD accelerates its intraday downside on Thursday, now challenging levels sub-1.3850 following President Draghi’s dovish comments.
EUR/USD hit by Draghi’s comments
The pair is extending the aggressive sell-off after ECB’s Mario Draghi hinted at the likeliness of further easing in case of risks to the inflation expectations. In the same direction, assessed that the levels of the exchange rate would be relevant to price stability. Furthermore, he sees deflation risks as limited, although the central bank would be preparing non-standard measures and remains ready to act should the situation so requires it.
EUR/USD levels to consider
At the moment the pair is losing 0.38% at 1.3849 and a break below 1.3843 (low Mar.12) would target 1.3834 (low Mar.11) en route to 1.3828 (10-d MA). On the upside, the initial hurdle remains at 1.4000 (psychological level) followed by 1.4100 (psychological levels) and finally 1.4172 (high Oct.31 2011).
EUR/USD hit by Draghi’s comments
The pair is extending the aggressive sell-off after ECB’s Mario Draghi hinted at the likeliness of further easing in case of risks to the inflation expectations. In the same direction, assessed that the levels of the exchange rate would be relevant to price stability. Furthermore, he sees deflation risks as limited, although the central bank would be preparing non-standard measures and remains ready to act should the situation so requires it.
EUR/USD levels to consider
At the moment the pair is losing 0.38% at 1.3849 and a break below 1.3843 (low Mar.12) would target 1.3834 (low Mar.11) en route to 1.3828 (10-d MA). On the upside, the initial hurdle remains at 1.4000 (psychological level) followed by 1.4100 (psychological levels) and finally 1.4172 (high Oct.31 2011).