As it has been happening ever since the week started, the common currency enjoyed of some limited demand during the Asian session, but gave it back after the European opening. Much better-than-expected Australian employment figures, weighed on the greenback, and the EUR/USD pair advanced up to 1.0779.
German inflation advanced 0.3% in October 2015 compared to a year before, but remained unchanged compared to the previous month. But what actually affected the EUR were ECB's president Draghi's words, pledging for examining the monetary policy accommodation at the December meeting, after saying that inflation dynamics have "somewhat weakened." Pretty much, Draghi promised a QE extension for December.
View the Live chart of the EUR/USD
The EUR/USD 4 hours chart shows that the price is approaching the 1.0700 level after ECB's head words, with a strong negative tone coming from technical readings, given that the price has once again failed to extend beyond its 20 SMA, whilst the technical indicators head south below their mid-lines.
A break below 1.0700 should lead to a continued decline towards fresh lows in the 1.0650/60 region, while below this last, 1.0620 is next. The immediate resistance is now at 1.0740, followed later by 1.0790, where selling interest has been containing rallies ever since the week started.
Latest updates on the EUR/USD Forecast
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