The much awaited Central Bank heads meeting in Portugal unfortunately didn’t go as planned as key members including Yellen and Mark Carney didn’t show up-understandably for Carney because of the rout that happened last week. Now, because we don’t have any sound bites from them to analyze we should go back to the charts for market hints on further trade directions and then capitalize on them.
What we are seeing in a rally-evidence in the 15 minute chart-during late NY session and into the Asian session from yesterday lows and back above the yearly 50% retracement line. We should maintain how shorts though and look to sell at all highs today in the European session and especially on any reversal signs around yesterday’s highs at 0.712.
First quarter US GDP will be released today with projections at 1.0% from last quarter’s 0.8% at 1230 GMT+3, be keen on that as it can trigger some volatility.