ECB speeches are notoriously dull. This one was little different. He did decide though to wade into political territory and mentioned tariffs. The effect on the currency was immediate and the Euro reversed 3 days of gains in a couple of hours.
Interestingly though, on our daily chart, we were already expecting this. We’d failed to penetrate the first swarm, and the second swarm was sitting ominously about it (in dark grey). As such we were taking only shorts all day. “sell on rallies”.
As you can see from the chart, we are now in a swarm control zone and expecting the EUR to drift lower against USD. However as a cautionary note … with so many things in play such as meeting the leader of North Korea, once again The President has set many plates spinning – the result could well be yet more volatility.
Trading wise. A nice day. 68 points (including a major hit for 14 points) for $1360 on the day, bringing us over our weekly $5k target quite nicely. Friday? Its NFP day in the USA. Expect a light morning and potential fireworks when the number are out. Either way, we will be there.