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EUR/USD sees selling pressure
The European Central Bank will be announcing its latest interest rate decision today. Considering the economic backdrop that Europe has it is highly unlikely that this will change, but what will be of interest is the press conference that will kick off 45 minutes after the announcement.
Pressure continues for ECB president Mario Draghi to implement some form of European quantitative easing. Considering the asset-backed security purchasing scheme has only just started, and the next trench of targeted LTRO’s are due to be issued in less than a week, it is maybe not the time for further action.
The last 48 hours have seen sustained selling pressure on the EUR/USD and yesterday the support that had twice held it above $1.24 finally gave in. The ‘sell the rally’ mindset looks to be firmly in place.