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EUR/USD: Draghi provides no incentives to keep selling Euros

FXStreet (Bali) - EUR/USD managed to find buying interest on Thursday, after the ECB policy meeting and subsequent press conference by President Draghi was perceived as less dovish-than-expected, with the rate stalling its rise at the 1.27 round number, with focus now shifted towards US NFP.

The fact that ECB will start buying covered bonds this month and plans to purchase asset-backed securities starting this quarter, with programmes lasting at least two years, had traders speculating that chances of outright QE may not be that great after all. Draghi's press conference left the market without fresh negative inputs to price in a still fragile Euro.

According to Jim Langlands, Founder at FXCharts: "Technically, although the Euro is a little higher the overall downtrend remains firmly intact but looks as though the momentum may slow for the next day or so as the charts stage some near term recovery after having become oversold."

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