The ECB meeting will shake up the EUR/USD movement - Kakiforex.com - Financial Market Media No. 1 in the World The ECB meeting will shake up the EUR/USD movement The ECB meeting will shake up the EUR/USD movement

March 11, 2021

The ECB meeting will shake up the EUR/USD movement

 The US dollar remained moving weakly weighed down by weak US government bond yields and continued to open up space for other major currencies in the market.


The New York session on Wednesday saw the US dollar continue to depreciate after the US inflation data report for February was published although previous sessions saw the US dollar strengthen slightly.


Other major currencies rose against the depreciating US dollar including the risky Euro.


The appreciation of the Euro was also seen to be slow as investors became more cautious ahead of the European central bank's policy meeting today.


The European Central Bank (ECB) is expected to deliver a dovish -tone statement that will push for a decline in the current Euro trading value.


Therefore, investors see the price increase displayed is slow on the chart of the EUR/USD currency pair even though there are already signals for a change in the bullish trend.



Previously the bulls had passed the Moving Average 50 (MA50) barrier on the 1 hour movement of the price and then during the New York session yesterday the price had passed the resistance zone at 1.19000. But the rate of price increase is seen to be limited.


If the price manages to continue the uptrend, the nearest resistance zone at 1.19600 will be tested before the price heads to the SBR (support become resistance) level of 1.20000.


On the other hand if the price makes a decline again, the level of 1.19000 will be the nearest support zone that needs to be broken.


The lower decline will test this week's support level at 1.18350 before continuing the decline to the support zone of 1.18000 to record the latest low since September 2020.