EUR/USD (current price: 1.0668)
The Euro lost ground following the slightly dovish statement by the ECB, as the central bank left its monetary policies unchanged. The decision was in line with expectations, following the December rate hike by the FED, although some traders expected a more hawkish decision. The Eurozone Current Account Balance was much better than expected in December, coming in at 36.1 billion, well above the consensus estimate of 29.3 billion. The cross recovered its losses in late trading, closing the session slightly higher.
Our assessment: The pair is still trading below the 1.0685 level, after bouncing higher off the 14-year low near 1.0350. The short-term trend is slightly bullish with strong support at 1.05.
