Unusual and abrupt swings have taken the US Dollar Index
from session highs near 98.40 to as low as the mid-96.00s, or multi-day troughs.US Dollar turns negative despite ECB easing
The greenback is now testing fresh 3-week lows in the 96.60 area, managing to regains some pips after a brief visit to lows near 96.40 following Draghi’s press conference.USD
briefly tested daily highs around 98.40 soon after the European Central Bank has surprised markets lowering its benchmark rates and announcing additional stimulus at its meeting today. However, Draghi’s hint at the likeliness of no further rate cuts at his press conference has sparked a violent correction in EUR, boosting it to fresh 3-week highs vs. the dollar.
Not as relevant and back to the US docket, Initial Claims rose to 259K in the week ended on March 4, taking the 4-Week Average to 267K from 270K.US Dollar relevant levels
The index is retreating 0.65% at 96.57 facing the next support at 96.00 (psychological level) followed by 95.28 (2016 low Feb.11). On the upside, a break above 97.12 (200-day sma) would aim for 97.61 (50% Fibo of 99.95-95.28) and finally 97.96 (55-day sma).
Unusual and abrupt swings have taken the US Dollar Index from session highs near 98.40 to as low as the mid-96.00s, or multi-day troughs...
(Market News Provided by FXstreet) [...]