With ECB President Mario Draghi speaking, there was always a strong chance we’d see some volatility. True to form, he delivered.
The main focus this time was on the bond markets and Draghi moved to calm things down, saying that what matters is to see an equivalent effect on investment, consumption and inflation even if data improves.
However, the price action seems to have stalled in that region and the pair is undergoing some consolidation. As we approach $1.1500 I feel traders will be tempted to take speculative shorts given there is a downtrend resistance that kicks in in that region.