EUR/USD made an attempt to move higher but never went too far. The highlight of the upcoming week is the ECB decision. Will Draghi upgrade the assessment? Here is an outlook for the highlights of this week and an updated technical analysis for EUR/USD.
ECB President Mario Draghi kept things balanced when expressed optimism about growth but worries about inflation. Inflation indeed fell back, with core CPI retreating from the highest levels since 2013 at 1.2% to 0.9%. That was primed by reports from Germany, France, and Spain. Subsequent reports about the ECB were already more upbeat: the sources said that Draghi and his colleagues will likely upgrade their assessment of risk. In the US, the Fed is likely heading to a June hike, but it could be a dovish one.
Updates
EUR/USD daily chart with support and resistance lines on it. Click to enlarge:
