EUR/USD Slightly Up Before ECB

The Euro is trading a bit higher anticipating the interest rate decision of the ECB later today. The expected rate is to remain unchanged at 0.00%. Nevertheless, that could still drive the price of the Euro up substantially given that after the announcement, ECB President Mario Draghi will deliver a speech on the economic and political conditions currently prevailing in the European Union.

Price is now 1.1970, up from today's low of 1.1917. First bullish resistance is expected to be met at the last major high of 1.2070. In case we hear an alarming message from the ECB President, market participants might turn their capital to the US dollar and depreciate the pair's price to first bear target at 1.1860.

The ECB Press Conference will be a key event that could direct the European currency for the whole month of September. If we get a clear strong message that Europe is doing well, then the Euro might continue on its course to be the single most appreciated currency for the year of 2017.

Chart: EUR/USD H4