The Euro rallies as improved market sentiment boosts demand for high beta currencies. A set of events occurred that helped boost sentiment: first, President Trump signed a declaration to reopen the US government temporarily. Second, the head of China's government, Li Keqiang commented during a news appearance that the Chinese economy “has enough resilience, potential and ample room for growth”. Finally, the Euro was also boosted by improved sentiment surrounding the outcome of the Brexit deal. For today, investors will shift their focus towards Draghi's speech, who was dovish when he last appeared after the ECB's interest rate decision.
The Euro ranges around the 13 and 50-period moving averages as investors are indecisive about the future trend bias of the pair. The break above the 1.1448 resistance will confirm that the pair's momentum is now bullish, paving the way for a rise towards 1.1500. On the other hand, a break below the 1.1342 support will confirm that the pair's momentum is now bearish, paving the way for a drop towards 1.1266.
Support: 1.1342 / 1.1266
Resistance: 1.1448 / 1.1500