EURUSD, buyers starting to set up a new continuation? Welcome to Thursday's update. So far today, we have been watching the EURUSD as buyers have started to fight back after some demand crept in yesterday.
We are watching the current price to see if a new continuation can confirm on the 4H chart as price continues to sit on its new fast uptrend. We can see the latest trend forming after buyer's first leg higher broke the last downtrend, but we still need to see price confirm with a new push higher from this point.
We would like to see a test of 1.0250 resistance, and a break of that level could confirm that we have a new trend underway. The ECB meets later today, and rates are expected to increase by 25 basis points. This is a special occasion as rates have not moved in the EU for some time now. Attention will always be on the statement and if there are hints of more to come. Will this give the EUR a short-term boost?
We want to see price continue to trade firm until the decision. If we see a break of the current trend or a move below 1.0155 this could be a bad sign for buyers on the short term.
Ensure you tune in for today's ECB meeting at 8:15 am EST. Enjoy the rest of you your day and good trading.
