EUR/USD up smalls ahead of the ECB, around 1.2170
- The pair met support in the lower end of the range near 1.2160.
- USD a tad offered today ahead of Durable Goods, Trade Balance.
- ECB, Draghi will be the salient events later today.
After testing fresh lows in the 1.2160 region on Wednesday, EUR/USD managed to get some attention and is now posting some gains in the 1.2170/75 band.
EUR/USD all the attention on ECB
The pair remains entrenched into the negative territory on Thursday, navigating the lower bound of the consolidative range that has been in play since January, where it seems to have emerged some interim contention.
The upcoming ECB meeting should be key in either breaking below the range or attempt a recovery. However, odds so far are tilted to the first option, as the Council and the subsequent press conference by President M.Draghi are seen on the dovish side.
Market sentiment, in the meantime, remains biased towards the greenback amidst US 10-year yields advancing and staying above the psychological 3.0% mark and the US Dollar Index (DXY) looking to consolidate above the recently broken 91.00 barrier.
Later in the session, the ECB event should grab all the attention in Euroland. Across the pond, Goods Trade Balance figures and Durable Goods Orders for the month of March are also due seconded by weekly Initial Claims.
EUR/USD levels to watch
At the moment, the pair is gaining 0.14% at 1.2178 facing immediate contention at 1.2160 (low Apr.25) seconded by 1.2153 (low Mar.1) and finally 1.2008 (200-day sma). On the upside, a break above 1.2217 (100-day sma) would target 1.2298 (21-day sma) en route to 1.2414 (high Apr.17).