- The pair remains bid and trades above the 1.1400 handle today.
- The ECB left unchanged its monetary policy at today’s meeting.
- Draghi said risks to economic growth remain balanced.
The single currency manages to keep the bid tone intact on Thursday, with EUR/USD navigating the area above the 1.1400 handle.
EUR/USD gains capped around 1.1430
Spot gains some steam following the usual press conference by President Draghi, although the bull run stalled just ahead of 1.1430 for the time being.
In fact, Draghi acknowledged that significant monetary accommodation is still needed to sustain the convergence of consumer prices to the bank’s target over the medium term.
Draghi also noted that risks to economic growth are still ‘broadly balanced’, although he cited Italy, Brexit and trade disputes as risks.
In addition, president Draghi noted that the Council did not discussed on Italy although he stays confident that a deal can be reached eventually.
EUR/USD levels to watch
At the moment, the pair is up 0.32% at 1.1428 facing the next hurdle at 1.1498 (10-day SMA) seconded by 1.1520 (21-day SMA) and finalyy 1.1550 (high Oct.22). On the flip side, a break below 1.1381 (low Oct.24) would target 1.1319 (200-week SMA) en route to 1.1299 (2018 low Aug.15).
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