It was interesting to see this pair face a strong rejection from trendline resistance on Thursday, despite the start of a rate hike cycle in July being confirmed at the ECB meeting.
This could be due to the ECB's decision being less hawkish than traders were fearing, or perhaps the market's expectations had already been priced in, and confirmation saw focus shift back towards the geopolitical and economic growth backdrop that has weighed on the Euro for the past few months.
Of course, all trading carries risk, and it will be interesting to see what impact Friday's US inflation print has on the pair.
This could be due to the ECB's decision being less hawkish than traders were fearing, or perhaps the market's expectations had already been priced in, and confirmation saw focus shift back towards the geopolitical and economic growth backdrop that has weighed on the Euro for the past few months.
Of course, all trading carries risk, and it will be interesting to see what impact Friday's US inflation print has on the pair.
1