Euro Range Wide and Varied

The Euro has essentially been range trading this week but has shown signs of buying potential as it has put in gains since yesterday. ECB President Draghi may have helped the Euro with his comments yesterday in Frankfurt at the ECB conference.

Technically Driven Trading Short Term

The Euro continues to put in a rather broad range against the U.S Dollar. The currency is trading above 1.18 early today and remains rather fast with its results.

The Euro has consistently challenged impatient traders the past two weeks with its rather strong short-term technical movements. Support for the Euro appears to be around 1.1735.

Draghi Talks Tapering of Quantitative Easing

Upon kicking off the European Central Bank conference in Frankfurt yesterday, President Mario Draghi said the time is drawing near where a consideration of a tapering of quantitative easing will have to take place.

However, the European Central Bank President offered no firm timeline for such a move, but the comments were enough to likely have helped sentiment surrounding the Euro.

Test of Resistance in the Cards?

Economic data has been light from the E.U this week, tomorrow German inflation data will be presented. And today, investors should keep an eye on developments in Spain regarding the Catalonia political saga.

However, the Euro seems to be getting its impetus from technically driven range traders this week and that may continue. Resistance for the Euro in the short term may be around 1.1870 and this may be tested.

In the short term, we believe the Euro may be positive. Mid-term and Long-term we are unbiased.

Yaron Mazor is a senior analyst at SuperTraderTV.

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