FxWirePro: ECB meeting likely to be make or break event for euro

This week’s monetary policy meeting by the European Central Bank (ECB) could very well be the ‘make or break’ event for the euro, which has been struggling to find a direction since May of this year. Since May, the euro has been struggling in a range of 350 pips against the USD (1.151 - 1.186).

Our latest calculations based on the price movement of the euro suggests that it is trapped in a bull-bear fight. The euro bulls are targeting an area around 1.205 against the USD, while the bears are focusing 1.095 area.

We at FxWirePro called on our readers to go short in EUR/USD in March this year around 1.218 area. The call is currently almost 500 pips in the money and recently, and we have recently revised our target for the EUR/USD lower to 1.095 area, https://www.econotimes.com/FxWirePro-Call-Review-Euro-downside-target-revised-to-1095-against-USD-1391422

We expect the ECB policy decision to be the most important event for the euro. We would recommend close monitoring of the event this Thursday, where ECB President Mario Draghi could either talk up or talk down the euro.